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  3. Study Set
    Managerial Accounting Study Set 4
  4. Exam
    Exam 7: Cost-Volume-Profit Analysis, Absorption and Variable Costing
  5. Question
    The Underlying Difference Between Absorption Costing and Variable Costing Lies
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The Underlying Difference Between Absorption Costing and Variable Costing Lies

Question 3

Question 3

Multiple Choice

The underlying difference between absorption costing and variable costing lies in the treatment of:


A) direct labour.
B) variable manufacturing overhead.
C) fixed manufacturing overhead.
D) variable selling and administrative expenses.
E) fixed selling and administrative expenses.

Correct Answer:

verifed

Verified

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