Under Absorption Costing,which of the Following Statements Is Not True

question 134

Multiple Choice

Under absorption costing,which of the following statements is not true?

• A)Over production and inventory buildup can occur because of how managers are evaluated and rewarded.
• B)The fixed costs per unit decline as more units are produced.
• C)Variable inventory costs are treated in the same manner as they are under variable costing.
• D)Fixed inventory costs are treated in the same manner as they are under variable costing.
• E)All manufacturing costs are assigned to products.

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Definitions:

Positive Alternatives

Favorable or beneficial options presented in place of less desirable ones, often used in problem-solving or decision-making processes.

Reasons For Decisions

The rationale or underlying factors that lead to a particular choice or judgment being made.

Apologize

Expressing regret or asking for forgiveness for an action or statement.

Negative Message

Communication that conveys a refusal, denial, or unwelcome news to the receiver.