What is an operating department and how is it different from a support department? Give examples of each

What will be an ideal response?

Answer: An operating department, also called a production department, directly adds value to a product or service. Examples are manufacturing departments where products are made. A support department, also called a service department, provides the services that assist other internal departments (operating departments and other support departments) in a company. Examples of support departments are information systems, production control, materials management, and plant maintenance.

Business

You might also like to view...

When expenses, such as employee wages, are not paid for until after they have been performed, the accrued expense is recorded in the accounts by an adjusting entry at the end of the accounting period.

a. true b. false

Business

A business keeps cash in a bank account because banks have established practices for safeguarding the business's money

Indicate whether the statement is true or false

Business