The costing system that classifies costs by functional group only is
A)standard costing.
B)job order costing.
C)variable costing.
D)absorption costing.

Question

Quizplus · Accepted Answer

Absorption costing is the costing system that classifies costs by functional group only. This system assigns all manufacturing costs, including both variable and fixed costs, to the cost of a product. This system is also known as full costing. Standard costing, job order costing, and variable costing all classify costs in different ways.

The Costing System That Classifies Costs by Functional Group Only