Advocates of Throughput Costing Maintain That ________

question 156

Multiple Choice

Advocates of throughput costing maintain that ________.

• A) both variable and fixed are necessary to produce goods; therefore, both types of costs should be inventoried
• B) all manufacturing costs plus some design costs should be inventoried
• C) fixed manufacturing costs are related to the capacity to produce rather than to the actual production of specific units
• D) except direct labor no other costs are truly variable in output