In a decentralized organization, upper managers need a way to evaluate the performance of unit managers. Based on factors under the unit manager’s control, organizational units are categorized as. Classify each of the following centers by placing an “X” in the appropriate column. Also feel free to add explanations.

	Cost	Profit	Investment
1. Manager is responsible for revenues and costs
2. Payroll department
3. Customer service department
4. Independently operated division with sole decision-making authority for all areas
5. Electronics department in a Best-Buy store

Answer rating: 100% (QA)

Profit center are units of the organisation which are responsible for its revenue and cost and are t... View the full answer