Which of the Following Best Defines Variable Costing

question 62

Multiple Choice

Which of the following best defines variable costing?

• A) a useful tool for external reporting purposes
• B) a useful tool for management decision making
• C) a good way to value inventories for the balance sheet
• D) not a useful tool for companies with multiple segments

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Definitions:

Vesicles

Vesicles are small, fluid-filled sacs or bladders within or on the surface of cells, involved in transport, storage, or digestion activities.

ER

Endoplasmic reticulum, a network of membranous tubules within the cytoplasm of eukaryotic cells, involved in protein and lipid synthesis.

Chromatin

Chromatin is the complex of DNA and proteins that forms chromosomes within the nucleus of eukaryotic cells.

Cristae

Cristae are the folds of the inner mitochondrial membrane, increasing the surface area for ATP production within a cell.