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    Cost Accounting
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    Exam 9: Inventory Costing and Capacity Analysis
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    AExplain the Difference Between the Variable and Absorption Costing Methods
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AExplain the Difference Between the Variable and Absorption Costing Methods

Question 193

Question 193

Essay

a.Explain the difference between the variable and absorption costing methods.
b.Which method(s) are required for external reporting? For internal reporting?

Correct Answer:

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a.Absorption costing includes both fixed...

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