Vidyalelo
Commerce · Q559

Costing

Graduate and Post Graduate · Commerce · question 559

Q559

Cost influences by responsibility center manager who is considered as

A.
manager cost
B.
influential cost
C.
center cost
D.
controllable cost
Answer

Answer: Option D

Solution

Answer: Option D
Solution:
Cost influences by responsibility center manager who is considered as controllable cost. Controllable costs are those costs that can be altered in the short term. More specifically, a cost is considered to be controllable if the decision to incur it resides with one person.