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Responsibility centres

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA MA – FIA FMA › Responsibility centres

  • This topic has 1 reply, 2 voices, and was last updated 5 years ago by John Moffat.
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    Posts
  • May 29, 2020 at 1:33 pm #572198
    sadafwaheed1
    Participant
    • Topics: 84
    • Replies: 32
    • ☆☆

    Which of the following would be considered to be responsibility of manager of profit centre?
    1) direct labour
    2) variable production OH
    3) imputed interest on capital investment
    4) depreciation of machinery

    I think answer is 1 and 2

    But not sure that what departments manager is responsible for other 2 option . Please explain

    May 29, 2020 at 3:04 pm #572205
    John Moffat
    Keymaster
    • Topics: 57
    • Replies: 54701
    • ☆☆☆☆☆

    It is head office who will decide on the imputed interest and on the method of depreciation.

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