What Factor Related to Manufacturing Costs Causes the Difference in Operating

question 215

Multiple Choice

What factor related to manufacturing costs causes the difference in operating income computed
Using absorption costing and operating income computed using variable costing?

• A)Absorption costing expenses all costs,whether fixed or variable.
• B)Absorption costing "inventories" all direct manufacturing costs.
• C)Absorption costing "inventories" all fixed manufacturing and period costs.
• D)Absorption costing "inventories" all fixed manufacturing costs.

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Definitions:

Event Revenue

Income generated from organized events, such as concerts, conferences, or sports events, typically through ticket sales, sponsorships, and merchandise.

Event Expense

Event expense refers to the costs incurred in organizing, hosting, or participating in a specific event.

Promises of Payment

Obligations or commitments by one party to pay another, often formalized through instruments like notes or bonds.

General Ledger

A comprehensive accounting record of all transactions that affect a company, summarized by account.