The One Primary Difference Between Variable and Absorption Costing Is

question 21

Multiple Choice

The one primary difference between variable and absorption costing is that under

• A) variable costing, companies charge the fixed manufacturing overhead as an expense in the current period.
• B) absorption costing, companies charge the fixed manufacturing overhead as an expense in the current period.
• C) variable costing, companies charge the variable manufacturing overhead as an expense in the current period.
• D) absorption costing, companies charge the variable manufacturing overhead as an expense in the current period.

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