Which of the Following Is Considered a Period Cost Under

question 175

Multiple Choice

Which of the following is considered a period cost under variable costing but not under absorption costing?

• A) fixed selling and administrative costs
• B) variable manufacturing costs
• C) fixed manufacturing overhead
• D) variable selling and administrative costs

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Definitions:

Demand for Plumbers

The need or desire for plumbing services in a market, which can vary based on factors like housing development and maintenance requirements.

Construction

The process or industry involved in assembling infrastructure or building structures from individual components.

Tournament Pay

A form of compensation in which the top performer (or performers) receives much higher rewards than do other competitors, even if the others perform at only a slightly lower level.

Compensating Differential

Additional payment or benefit given to an employee to offset or compensate for undesirable aspects of a job.