Consider the Following Comments About Absorption- and Variable-Costing Income Statements

question 15

Multiple Choice

Consider the following comments about absorption- and variable-costing income statements:
I. A variable-costing income statement discloses a firm's contribution margin.
II. Cost of goods sold on an absorption-costing income statement includes fixed costs.
III. The amount of variable selling and administrative cost is the same on absorption- and variable-costing income statements.
Which of the above statements is (are) true?

• A) I only.
• B) II only.
• C) I and II.
• D) II and III.
• E) I, II, and III.

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Definitions:

Sikh Community

A religious and cultural group originating from the Punjab region of South Asia, adhering to Sikhism, which emphasizes monotheism and values like service and justice.

Caucasian

Originally denoting people from the Caucasus region, it is now often used in some countries to describe white individuals or those of European descent.

Mixed Race

Describes individuals whose ancestry includes two or more different racial backgrounds, often leading to a diverse cultural heritage.

Identity Crisis

A period of uncertainty, confusion, or questioning related to one's sense of self and identity, often occurring during adolescence or major life transitions.