Question

A responsibility report should Select one: a. be prepared in accordance with generally accepted accounting principles. b. show only those costs that a manager can control. c. only show variable costs. d. only be prepared at the highest level of managerial responsibility. Previous page

Answer 1

Answer: C) show only those costs that a manager can control.

Explanation:

Responsibility report is the accounting document that is provided to the management stages in an organization. This report shows all the amount of all the expense of the service and product along with extra added product and performance reports that is supervised and controlled by manager.

Other options are incorrect because general accounting guidelines, variable amount and preparation at top most level of manger is not followed by responsibility report.Thus, the correct option is option(c).