responsibility center Definition | Business Dictionaries from AllBusiness.com
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Business Definition for: responsibility center
responsibility center

unit in the organization that has control over costs, revenues, or investment funds. For accounting purposes, responsibility centers are classified as cost center , revenue center , profit center , and investment center . A well-designed responsibility accounting system should clearly define responsibility centers in order to collect and report revenue and cost information by areas of responsibility.

Copyright © 2005, 2000, 1995, 1987 by Barron's Educational Series, Inc., Reprinted by arrangement with Publisher.

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