Since Variances Are Temporary Accounts, How Are They Usually Handled

question 57

Multiple Choice

Since variances are temporary accounts, how are they usually handled?

• A) Closed directly to cost of goods sold at the end of each month.
• B) Closed directly to cost of goods sold at the end of each accounting period.
• C) Closed directly to cost of goods manufactured at the end of each accounting period.
• D) Closed directly to profit and loss account at the end of the year.

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Definitions:

Automatic Attitudes

Immediate, involuntary responses or evaluations that one has toward an object or concept.

Deliberate Attitudes

Conscious and intentional evaluations or feelings towards objects, people, or concepts.

Measure

In research and statistics, a measure refers to a method or tool used to assess, quantify, or record qualities, quantities, or performance.

Interpersonal Functions

The roles that interactions and communications play in maintaining relationships and fulfilling social needs among individuals.