Caveman Software operates stores within five regions. Regional managers are held accountable for marketing, advertising, and sales decisions, and all costs incurred within their region. In addition, regional managers decide whether new stores will open, where the stores will be located, and whether the stores will lease or purchase the facilities. Store managers, in contrast, are accountable for marketing, advertising, sales decisions, and costs incurred within their stores. Ideally, on the basis of this information, what type of responsibility center should the software company use to evaluate its regions and stores?

REGIONS STORES

A. Profit Center Profit Center

B. Profit Center Cost Center

C. Profit Center Revenue Center

D. Investment Center Profit Center

E. Investment Center Cost Center

Answer rating: 100% (QA)

The correct option is D Investment Center Profit Center The region... View the full answer