When There Are No Units in the Beginning Finished Goods

question 107

True/False

When there are no units in the beginning Finished Goods Inventory and the units produced are more than the units sold,the operating income will be higher under absorption costing than variable costing.

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Definitions:

Motivated

Having the desire or willingness to act or work towards a goal due to personal interest or external incentives.

Vague Goals

Objectives that are not clear, specific, or measurable.

VIE Theory

A psychological theory that suggests individual motivation is determined by the perceived valence, instrumentality, and expectancy of the outcome.

Instrumentality

In motivation theory, it refers to the perceived relationship between performing at a certain level and achieving a particular outcome.