Gasoline Is Considered a Final Good If It Is Sold

question 44

Multiple Choice

Gasoline is considered a final good if it is sold by a

• A)gasoline station to a bus company that operates a bus route between San Francisco and Los Angeles.
• B)pipeline operator to a gasoline station in San Francisco.
• C)gasoline station to a motorist in Los Angeles.
• D)All of the above are correct.

---

Definitions:

Year 2

Refers to the second year of a specific time frame, project, or financial period.

Variable Costing

A costing method that includes only variable manufacturing costs (direct materials, direct labor, and variable manufacturing overhead) in the cost of a product, excluding fixed manufacturing overhead.

Unit Product Cost

The total cost (variable and fixed) associated with producing one unit of a product.

Year 2

A fictional or unspecified second year in a sequence or period being referred to, often relative to a specific context or event.