If the Number of Units Produced Exceeds the Number of Units

question 156

Multiple Choice

If the number of units produced exceeds the number of units sold,then net operating income under absorption costing will:

• A)be equal to the net operating income under variable costing.
• B)be greater than net operating income under variable costing.
• C)be equal to the net operating income under variable costing plus total fixed manufacturing costs.
• D)be equal to the net operating income under variable costing less total fixed manufacturing costs.

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Definitions:

Active

Refers to being engaged in movement or exerting energy, often relating to physical fitness or participation in activities.

Passive Subjects

Individuals who are recipients or targets of an action or process without actively participating or resisting.

Positivist Perspective

The positivist perspective is a scientific approach in sociology that seeks to understand society through empirical evidence and logical analysis.

Objectively

Objectively means considering facts without influence from personal feelings, interpretations, or prejudice, based on observable phenomena.