A responsibility center in which the authority over and responsibility for costs and revenues is vested in the department manager is termed a profit center.

Profit Center

A decentralized unit in which the manager has the responsibility and the authority to make decisions that affect both costs and revenues (and thus profits).

Department Manager

An individual responsible for overseeing the operations, staff, and performance of a specific department within an organization.

Authority

The power or right to give orders, make decisions, and enforce obedience.