A Line Graph Shows That the Price of Fresh Oranges

question 12

Multiple Choice

A line graph shows that the price of fresh oranges falls early in each year when the orange harvest in Florida is ready, then it rises late in the year when oranges from that year's harvest begin to run out. This is an example of

• A) trend in a line graph.
• B) erratic fluctuations in a line graph.
• C) seasonal variation in a line graph.
• D) confounding.

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Definitions:

Cost of Goods Sold

The direct costs attributable to the production of goods sold by a company, including direct materials, direct labor, and manufacturing overhead.

Income Summary Account

An account used in the closing process that summarizes the revenues and expenses of a period, ultimately transferring the net income or loss to retained earnings.

Accounting Period

The time span for which financial statements are prepared, typically a year, a quarter, or a month.

Actual Manufacturing Overhead

The real expenses incurred during the manufacturing process, excluding direct labor and raw material costs, such as utilities, depreciation, and maintenance.