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During 2025, Inventory Increased by 7,000 Units

Question 28

Multiple Choice

During 2025, inventory increased by 7,000 units. The following information for the company is available: During 2025, inventory increased by 7,000 units. The following information for the company is available: If the company uses absorption costing rather than variable costing, the effect on operating income would be a A) $42,000 decrease. B) $42,000 increase. C) $52,500 increase. D) $52,500 decrease. If the company uses absorption costing rather than variable costing, the effect on operating income would be a


A) $42,000 decrease.
B) $42,000 increase.
C) $52,500 increase.
D) $52,500 decrease.

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