Use the following information for the next 4 questions.
During its first year of operations, Kima Corp. experienced the following:
-The amount of fixed costs deducted from revenues under the absorption costing approach would be
A) $410,000
B) $455,000
C) $390,000
D) $435,000

Question

Use the following information for the next 4 questions.
During its first year of operations, Kima Corp. experienced the following: 
-The amount of fixed costs deducted from revenues under the absorption costing approach would be
A) $410,000 
B) $455,000 
C) $390,000 
D) $435,000

Quizplus · Accepted Answer

Fixed costs are fully deducted from revenues under the absorption costing approach. In this case, fixed costs are $410,000.

Use the Following Information for the Next 4 Questions