Difference between revisions of "Cost center"
| Line 6: | Line 6: | ||
:[[Cost center]]. A unit or department that incurs costs but does not generate [[Fiscal Revenue|revenue]]s. | :[[Cost center]]. A unit or department that incurs costs but does not generate [[Fiscal Revenue|revenue]]s. | ||
According to [[Cost Accounting by Horngren, Datar, Rajan (14th edition)]], | According to [[Cost Accounting by Horngren, Datar, Rajan (14th edition)]], | ||
| − | [[Cost center]]. Responsibility center where the manager is accountable for costs only. | + | :[[Cost center]]. Responsibility center where the manager is accountable for costs only. |
Revision as of 19:40, 10 July 2020
Cost center is a unit or department that incurs costs but does not generate revenues.
Definitions
According to College Accounting: A Practical Approach by Slater (13th edition),
- Cost center. A unit or department that incurs costs but does not generate revenues.
According to Cost Accounting by Horngren, Datar, Rajan (14th edition),
- Cost center. Responsibility center where the manager is accountable for costs only.
Related concepts
- Accounting (alternatively known as accountancy) is management of financial data, information, and knowledge about financial transactions of legal entities. Accountancy tends to include bookkeeping and, depending on a particilar enterprise, may also include quatitative analysis of financial data in the bookkeeping system and/or business intelligence.
Related lectures
- Principles of Accounting.[[Category: Accounting]
