Under GAAP

question 35

Multiple Choice

Under GAAP,

• A)absorption costing is required to be used for the costing of inventory for external reporting purposes.
• B)net income highlights differences between variable and fixed costs.
• C)measured net income is often used externally to evaluate performance, justify cost increases, or evaluate new projects.
• D)measured net income is often used internally to evaluate performance, justify cost increases or evaluate new projects.

Examine the implications of psychological theories on relationship dynamics.

Understand the importance and impact of effective communication in the workplace.

Recognize the role and implications of nonverbal communication.

Identify strategies to overcome communication barriers.

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Definitions:

Cyclical Items

Goods or services whose demand fluctuates in a predictable pattern over time due to seasonal, economic, or other cyclic factors.

ABC Analysis

A methodology for classifying inventory items based on their importance, where A items are most valuable, followed by B and then C, to prioritize inventory management efforts.

Annual Units

The quantity of items produced or sold by a company in one year.

Quantities Used

The amounts of materials or resources consumed during the production of goods or services.