Question

Brad Turret, one of the managers of a multi-national company, is responsible for generating revenues and controlling costs in order to increase the operating income of his division. However, he is not concerned about investment-related decisions. Brad is most likely to be the manager of a(n) ________.

A) cost center
B) investment center
C) profit center
D) revenue center

Answer 1

Brad Turret, responsible for generating revenues and controlling costs, is most likely to be the manager of a profit center.

Step-by-step explanation:

Brad Turret, the manager responsible for generating revenues and controlling costs to increase operating income, is most likely to be the manager of a profit center. Profit centers are responsible for both revenue generation and cost control, and the goal is to maximize the profit or operating income of the division. Managers of profit centers are accountable for the overall performance of the division, including both the revenues and expenses.