Today, You Can Exchange $1 for £

question 230

Multiple Choice

Today, you can exchange $1 for £.5694. Last week, £1 was worth $1.7498. Last week, you converted £100 into dollars. If you convert the dollars back into pounds today, you will have:

• A) £99.47.
• B) £99.63.
• C) £99.82.
• D) £99.91.
• E) £100.04.

---

Definitions:

Variable Costing

A costing method that includes only variable production costs (direct material, direct labor, and variable manufacturing overhead) in product costs.

Net Operating Income

A company's total earnings from its operations, excluding non-operating income and expenses, interest, and taxes.

Absorption Costing

This accounting strategy entails calculating a product's cost by including all costs related to its manufacturing, comprising direct materials, direct labor, and all categories of manufacturing overhead, both variable and fixed.

Variable Costing

A costing method that includes only variable production costs (direct materials, direct labor, and variable overhead) in product costs, excluding fixed overhead.