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Centre Name

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P V Gopal

Job

86 Points Posted on 29 July 2022

My employer is automobile dealer

Apart from selling vehicles, he is getting commission by giving business to various financiers

In this task, his investment ZERO, revenue in the form of commission comes and expenditure only in the form of salaries and office maintenance

How we would see this department mean as revenue centre or profit centre or any other name...

Requesting guidance please...

Replies (2)

Quick Summary

This discussion explores how to classify a department within an automobile dealership that earns commission from financiers with zero investment. The core question is whether this should be considered a revenue centre or a profit centre. Guidance is sought on the distinction between these two business classifications and how they apply to this specific scenario.