Answer as true (T) or false (F). If the answer is false, change the statement to make it true.

1.______Managers should be held responsible only for what they can control.

2.______Revenue center managers are responsible for generating revenues within their areas of the organization.

3.______One advantage of decentralization is to allow the development of managerial expertise.

4.______The part of the organization for which managers are responsible is called a responsibility center.

5.______Common fixed costs and direct fixed costs both are typically incurred at a higher level of the organization and are therefore outside the segment manager’s control.