Residual income is an appropriate performance measure for which type of responsibility centre?
Suggested Answer: A
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39 comments · newest first
EL
Elvera
12 months ago
Yup, investment centre is the right answer!
OD
Odette
12 months ago
Just a fact: investment centres focus on returns on investments.
CA
Carey
1 year ago
Wait, are you sure it's not for profit centres?
RO
Rosendo
1 year ago
Totally agree, it measures profitability effectively!
TA
Tasia
1 year ago
Residual income is best for investment centres.
MO
Mose
1 year ago
I’m a bit confused; I thought residual income was relevant for cost centres as well, but that doesn’t seem right now.
PH
Phillip
1 year ago
I feel like residual income could apply to profit centres, but investment centres seem more fitting based on what I studied.
DE
Devorah
1 year ago
I remember practicing a question about performance measures, and I think profit centres were mentioned too.
KI
King
1 year ago
I think residual income is mainly used for investment centres, but I'm not entirely sure.
FA
Fairy
1 year ago
Okay, let's see here. I think the key is to make sure the object is properly deployed and accessible. I'll double-check the object's status and permissions.
SH
Shawnda
1 year ago
Hmm, I'm a bit unsure about this one. I'll need to think carefully about how to approach it and make sure I don't come across as biased or confrontational.
QU
Quiana
1 year ago
Hmm, this seems like a tricky one. I'll need to think carefully about the different Azure networking resources and which ones require IP addresses in the subnets.
ST
Stacey
1 year ago
Wait, is this a trick question? Residual income sounds like something you'd find in a mattress, not a performance measure!
AR
Ariel
1 year ago
Investment centre, for sure! Residual income helps you figure out if you're truly generating value, not just raking in the cash.
VI
Vivan
1 year ago
That's true! Profit centres can also benefit from using residual income as a performance measure.
AL
Albina
1 year ago
D) Profit centre
TA
Tayna
1 year ago
Definitely! Residual income is a great measure for investment centres.
CA
Carole
1 year ago
C) Investment centre
AM
Amie
1 year ago
Ah, the old residual income question. I bet the answer is D) Profit centre, where you can really see the bottom line impact.
LE
Lenny
1 year ago
Residual income is a great way to measure the profitability of a specific segment of a business.
CE
Celeste
1 year ago
Yeah, in a Profit centre you can really see how much value is being added beyond just covering costs.
MA
Marnie
1 year ago
I think you're right, residual income is definitely most appropriate for a Profit centre.
TO
Tonja
1 year ago
I'm gonna go with C) Investment centre. Residual income gives you a better picture of the actual value being created, rather than just raw profits.
EL
Elvera
1 year ago
Residual income can help us make better investment decisions in the long run.
SI
Silvana
1 year ago
I think it's important to consider the value being created, not just the profits.
TI
Tien
1 year ago
I agree, residual income is a great measure for investment centres.
AN
Annalee
1 year ago
Residual income can help show the true performance of an investment centre.
GW
Gwenn
1 year ago
I think it's important to consider the value being created, not just the profits.
SU
Susana
1 year ago
I agree, residual income is a great measure for investment centres.
NA
Nadine
2 years ago
Hmm, residual income seems like a great fit for investment centres. Gotta maximize that return on investment, am I right?
TR
Trina
1 year ago
C) Investment centre
BE
Bettyann
1 year ago
Definitely! Residual income is a key measure for investment centres.
KA
Kathrine
1 year ago
D) Profit centre
JU
Juliann
1 year ago
C) Investment centre
LI
Lindy
1 year ago
B) Revenue centre
LA
Laticia
1 year ago
A) Cost centre
AL
Aleisha
2 years ago
I'm not sure, but I think residual income could also work for profit centre since it focuses on profitability.
DY
Dyan
2 years ago
I agree with Mitsue, residual income is a good measure for investment centre because it considers both income and expenses.
MI
Mitsue
2 years ago
I think residual income is best for investment centre.