Why are companies divided into departments for the purpose of management control?  Is it possible to evaluate a cost center's profitability?  Explain.

Financial And Managerial Accounting
15th Edition
ISBN:9781337902663
Author:WARREN, Carl S.
Publisher:WARREN, Carl S.
Chapter21: Variable Costing For Management analysis
Section: Chapter Questions
Problem 8DQ: Why might management analyze product profitability?
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Why are companies divided into departments for the purpose of management control?  Is it possible to evaluate a cost center's profitability?  Explain.

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