Answered

Decentralized organizations can delegate authority and still maintain control and monitor managers' performance by designing appropriate
management control systems. Which of the following responsibility centers would be evaluated similar to an independent business? (CMA,
adapted)
Multiple Choice
Discretionary cost center.
Investment center.
Revenue center.
13



Answer :

GinnyAnswer

Final answer:

An investment center would be evaluated similar to an independent business due to the control managers have over revenue, costs, and assets invested.


Explanation:

Investment center would be evaluated similar to an independent business. In an investment center, managers have control over revenue, costs, and the assets invested. They are responsible for generating profits and managing various aspects of the business, resembling the autonomy and accountability found in independent businesses.


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