Technician a Says That the Use of Methanol in Internal

question 6

Multiple Choice

Technician A says that the use of methanol in internal combustion engines has declined over the years. Technician B says that the use of MTBE as a gasoline additive has declined over the years. Who is correct?

• A)A only
• B)B only
• C)both A and B
• D)neither A nor B

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Definitions:

Absorption Costing

A product costing technique in accounting that involves adding direct materials, direct labor, and both kinds of manufacturing overhead—variable and fixed—to the product's cost.

Fixed Manufacturing Overhead

Costs that do not change with the level of production output, including rent, salaries of permanent staff, and depreciation of factory equipment.

Variable Costing

An accounting method that includes only variable production costs in the cost of goods sold, excluding fixed costs.

Net Operating Income

The earnings generated from a company's regular business operations, indicating the efficiency of management.