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What is the most accurate statement about instant messaging (IM) and text messaging?
Absorption Costing
is an accounting method that includes all manufacturing costs (direct materials, direct labor, and both variable and fixed overhead) in the cost of a product.
Fixed Manufacturing Overhead
The set costs involved in the production process that do not change with the level of output, such as salaries and building leases.
Inventories
Items such as products, materials, and supplies held by a company for the purpose of resale or production.
Variable Costing
An accounting method that includes only variable production costs (materials, labor, and variable overhead) in the cost of goods sold, while fixed overhead costs are expensed in the period incurred.
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