Which of the following statements is true?
A) When production exceeds sales, a manufacturing company's variable costing net operating income will usually be greater than its absorption costing net operating income.
B) The variable costing method is usually not used for external reporting purposes.
C) The absorption costing method treats fixed production costs as period costs.
D) All of these.

Question

Quizplus · Accepted Answer

The variable costing method is typically used for internal decision-making and is not generally accepted for external financial reporting, which requires absorption costing.

Which of the Following Statements Is True