In two of the methods of costing, the operating income will be differe – McqOptions

MCQOPTIONS

1.	In two of the methods of costing, the operating income will be different if the
A.	fixed cost does not change
B.	inventory changes
C.	inventory does not change
D.	fixed cost changes
Answer» C. inventory does not change

Discussion

No Comment Found

Related MCQs

The difference between master budget capacity and practical capacity is considered as
If the beginning inventory is $40000, the total revenues are $225000 and the ending inventory is $30000, then total production would be
If the revenues are $85000 and throughput contribution is $63700, then direct material cost of goods sold will be
In an actual quantity of cost allocation used, base is multiplied to an actual fixed overhead rates, to calculate
If the target operating income is $84000 and contribution margin per unit is $600, then number of units must be sold to earn targeted operating income, will be
In manufacturing companies, the variable and absorption costing are methods, which are used in
The theoretical capacity of the company considers ideal goal of
If the contribution margin per unit is $7500, selling price is $1300 and variable manufacturing cost per unit is $1700, then per unit cost of marketing would be
The variance which is included in absorption costing, but not in variable costing is classified as
The cost which is excluded from inventoriable costs in variable costing method is called