Which of the following statements is true regarding variable costing? Multiple Choice It is a traditional...
Which of the following statements is true regarding variable costing?
Multiple Choice
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It is a traditional costing approach.
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It makes it easier to manipulate earnings with changes in production levels.
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Only manufacturing costs that change in total with changes in production level are included in product costs.
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It treats overhead in the same manner as absorption costing.
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It is not permitted to be used for managerial reporting.
Homework Answers
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Option C |
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| Only those manufacturing costs that change in total with the changes in production (Variable costs) are included in product cots. | |
| Comment if you face any issues |
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Which of the following statements is true regarding
variable costing?
Multiple Choice
It is a traditional...
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Which of the following statements is true? Ι ο Under variable costing, direct materials and direct...
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Consider the following statements about variable costing. Which of the following are true? The accounting standards...
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QUESTION 22 Which of the following statements is true regarding absorption costing (AC), variable costing (VC),...
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Which of the following statements is false regarding job-order costing?
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Which of the following is true of absorption costing? It expenses marketing costs as cost of...
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Which of the following statements regarding job-order costing and process costing is FALSE? Multiple Choice Job-order costing uses manufacturing overhead; process costing does not apply manufacturing overhead. Both systems have the same basic purposes-assigning costs to products. The flow of costs through the manufacturing accounts is basically the same. Both systems use the same basic manufacturing accounts.
Which of the following statements is true? Ι ο Under variable costing, direct materials and direct labor are expensed as period expenses. ο Under variable costing, fixed manufacturing overhead is expensed as period expenses. ο Fixed manufacturing overhead costs are treated the same under both absorption costing and variable costing. ο Reported income under absorption costing is not affected by production level changes. ο Under absorption costing, fixed manufacturing overhead is expensed as period expenses.
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