Under Absorption Costing,which of the Following Statements Is Not True

question 134

Multiple Choice

Under absorption costing,which of the following statements is not true?

• A)Over production and inventory buildup can occur because of how managers are evaluated and rewarded.
• B)The fixed costs per unit decline as more units are produced.
• C)Variable inventory costs are treated in the same manner as they are under variable costing.
• D)Fixed inventory costs are treated in the same manner as they are under variable costing.
• E)All manufacturing costs are assigned to products.

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Definitions:

Abstinence Programs

Educational programs aimed at preventing substance abuse and sexual activity by promoting abstinence as the only effective method.

Gradual Withdrawal

The process of slowly reducing the intake of a substance to minimize withdrawal symptoms in the treatment of substance dependence.

Heroin

An opioid drug derived from morphine, highly addictive and illegal, used recreationally for its euphoric effects.

Methadone

Opioid that is less potent and longer-lasting than heroin; taken by heroin users to decrease their cravings and help them cope with negative withdrawal symptoms.