Question $21$

Great Coffee operates stores within six 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. Within each store, store managers are

accountable for marketing, advertising, sales decisions, and associated costs incurred. Ideally,

what type of responsibility center should be used for the region and the store respectively?

Region

Store

profit center

profit center

investment center

profit center

investment center

profit center

revenue center

profit center

cost center

cost center