Which accounting system encourages user departments to be responsible for their facilities requirements?

• A. Centralized Budgeting
• B. Chargeback System
• C. Grant-In-Aid
• D. Flat-Rate Allocation

Answer: (B)

Chargeback systems allocate the costs of facilities services to the departments that actually use them. This makes each department financially responsible for its own facilities needs, encouraging careful planning, justification of requests, and ongoing monitoring of space, equipment, and services. Departments see how decisions affect their own budgets, promoting efficient use and alignment of facilities with real demand. Other approaches pool costs centrally, rely on external grants, or assign a flat rate regardless of use, which weakens department accountability and incentives to manage demand.