Professional Documents
Culture Documents
PROFIT
CENTERS
Profit Centers
Profit Centers:
A responsibility centers financial
performance is measured in terms of profit.
General Consideration
Functional Units
Marketing
Manufacturing
Measuring Profitability
2.
Contribution Margin
2.
Direct Profit
3.
4.
5.
Controllable Profit
Income before Taxes
Net Income
(1)
(2)
(3)
(4)
(5)
Revenues
Management Considerations