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Unformatted text preview: assumed to apply to other supervisory personnel within the Finishing Department, whose salaries are controllable by the manager. Illustration 21-21 Responsibility report for a cost center The report in Illustration 21-21 includes only controllable costs , and no distinction is made between variable and fixed costs. The responsibility report continues the concept of management by exception. In this case, top management may request an explanation of the $1,000 favorable difference in indirect labor and/or the $500 unfavorable difference in indirect materials...
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- Fall '11
- Accounting, cost centers, controllable costs. Responsibility