Which of the Following Is a Reason for Easy Identification

question 57

Multiple Choice

Which of the following is a reason for easy identification and control of variable manufacturing costs under the variable costing method?

• A)Variable and fixed costs are reported separately.
• B)Variable costs can be controlled by the operating management.
• C)Fixed costs, such as property insurance, are normally the responsibility of higher management not the operating management.
• D)all of these choices

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Definitions:

Customer Needs

Refers to the desires and requirements of clients that a company aims to fulfill with its products or services.

Production Orientation

A business approach that focuses on the efficiency of production and distribution processes rather than understanding and meeting the needs of the consumer.

Unit Costs

The total expense incurred by a company to produce, store, and sell one unit of a particular product or service.

Merchandising

The activities involved in acquiring particular goods and services and making them available at the places, times, prices, and quantities that enable a retailer to achieve its goals.