Variable Costing Is Acceptable for Which of the Following Purposes

question 17

Multiple Choice

Variable costing is acceptable for which of the following purposes?

• A)GAAP reporting
• B)Internal reporting
• C)Reporting to the IRS
• D)All of these ans choices are correct

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Definitions:

Accounts Payable

Money owed by a company to its creditors for goods and services that have been received but not yet paid for.

Prepaid Expenses

The payments the company has already made for services not yet received.

Compensation Policy

The level of compensation and benefits for each type of position in the business.

Obligations

Duties or responsibilities that an individual or organization is required to fulfill, often by law, social norms, or personal commitment.