Which of the Following Costs Would NOT Be Included in Calculating

question 169

Multiple Choice

Which of the following costs would NOT be included in calculating inventory values under the absorption-costing basis?

• A)direct materials
• B)fixed overhead
• C)selling and administrative expenses
• D)direct labor

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Definitions:

Discrete Variables

These are variables that represent counts and can only take on distinct, separate values.

Specific Values

Specific values in finance typically refer to precise monetary figures associated with assets, liabilities, revenues, or expenses, crucial for accurate financial analysis and reporting.

Beta Coefficient

The beta coefficient measures a stock's relative volatility and risk compared to the market. It indicates how much the stock price is likely to change in response to market fluctuations.

Weighted Average

Weighted average is a calculation that takes into account the varying degrees of importance of the numbers in a data set, providing a measure that reflects their contributions.