Definition of Investment center:
Department or an area of responsibility, where a manager controls revenues and associated costs, assets, and liabilities. His or her performance is assessed largely on the basis of return on investment (ROI) achieved.
An investment center is sometimes called an investment division.
An investment center is a business unit in a firm that can utilize capital to contribute directly to a company's profitability. Companies evaluate the performance of an investment center according to the revenues it brings in through investments in capital assets compared to the overall expenses.
How to use Investment center in a sentence?
- An investment center is a business unit that a firm utilizes its own capital to generate returns that benefit the firm.
- The financing arm of an automobile maker or department store is a common example of an investment center.
- Investment centers are increasingly important for firms as financialization leads companies to seek profits from investment and lending activities in addition to core production.
Meaning of Investment center & Investment center Definition