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CIMAPRO19-P02-1 Exam - Topic 3 Question 44 Discussion

Which of the following statements are correct with regard to responsibility centres?Select ALL that apply.
A) Revenue centre managers have a lower level of decision-making authority than profit centre managers. and C) Profit centre managers and investment centre managers are responsible for the majority of operating costs incurred. and D) Investment centre managers have a higher level of managerial authority than profit centre managers.
B) Revenue centre managers and profit centre managers are accountable for controllable costs only.
E) Managers of profit centres have authority over the level of investment in working capital but managers of cost centres do not.

CIMAPRO19-P02-1 Exam - Topic 3 Question 44 Discussion

Actual exam question for CIMA's CIMAPRO19-P02-1 exam
Question #: 44
Topic #: 3
[All CIMAPRO19-P02-1 Questions]

Which of the following statements are correct with regard to responsibility centres?

Select ALL that apply.

Show Suggested Answer Hide Answer
Suggested Answer: A, C, D

by Mitsue at May 07, 2022, 02:11 PM

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Felix
10 months ago
C seems off; not all operating costs fall on profit and investment centre managers.
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Alida
10 months ago
Wait, I thought profit centre managers handled all costs, not just controllable ones!
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Essie
11 months ago
B is misleading; profit centre managers are accountable for more than just controllable costs.
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Darnell
11 months ago
Totally agree with D, investment centre managers do have more power.
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Kristofer
11 months ago
A is definitely true! Revenue centre managers have less authority.
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Lavonne
11 months ago
Hmm, I'm a little unsure about this one. I think B might be the right answer, using verbs instead of nouns. But I'll have to think it through more carefully.
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Arlen
11 months ago
The part that confuses me is how to break down the actual server usage for both providers. I practiced something similar last week, and it was tricky then too.
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Chaya
11 months ago
If I recall, Cisco Tetration is more about monitoring, not necessarily mitigating risks directly—are we sure that's the right choice?
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Annamaria
11 months ago
I feel pretty confident about this question. Based on my understanding of IT management, the IT steering committee would be the most appropriate group to approve new technology implementation.
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