An income statement under absorption costing includes all of the following (You may select more than one answer):

a) fixed factory overhead.

b) direct materials.

c) direct labor.

d) fixed selling expenses.

Question

Samuel Moran

Business

27 October, 15:05

An income statement under absorption costing includes all of the following (You may select more than one answer):

a) fixed factory overhead.

b) direct materials.

c) direct labor.

d) fixed selling expenses.

+1

Answers (1)

Know the Answer?

Haylee Roberson · Answer 1

a) fixed factory overhead.

b) direct materials.

c) direct labor.

d) fixed selling expenses

Explanation:

Absorption costing product costs consist of variable and fixed manufacturing overheads. The total of which will appear in the cost of goods sold.

All non manufacturing costs (fixed and variable) are treated a period and are expensed during the period.

An income statement under absorption costing includes all of the following (You may select more than one answer):a) fixed factory overhead.b) direct materials.c) direct labor.d) fixed selling expenses.

An income statement under absorption costing includes all of the following (You may select more than one answer):

a) fixed factory overhead.

b) direct materials.

c) direct labor.

d) fixed selling expenses.