Which of the Following Is True of Variable Costing

question 114

Multiple Choice

Which of the following is true of variable costing?

• A)only variable manufacturing costs are assigned to products
• B)only fixed manufacturing costs are assigned to products
• C)only fixed administration overhead costs are assigned to products
• D)only variable selling overhead costs are assigned to products

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Definitions:

Compensatory Damages

Financial compensation awarded to a plaintiff to reimburse for loss, injury, or harm suffered as a direct result of another's breach of duty or negligence.

Punitive Damages

Financial compensation awarded to an aggrieved party that goes beyond what is necessary to compensate for losses and is intended to punish the wrongdoer.

Fraud

A deliberate deception practiced to secure unfair or unlawful gain, or to deprive a victim of a legal right.

Scienter

A legal term referring to the knowledge of wrongdoing or fraudulent intent in actions that deceive others.