Gogontle9412 Gogontle9412
  • 22-09-2017
  • Business
contestada

It is not possible to convert reports prepared using variable costing to absorption costing reports.
a. True
b. False

Respuesta :

andriansp andriansp
  • 29-09-2017
That statement is false.
IT is actually possible to do that with some reconciliation calculation because this two method only differ in when to acknowledge a certain expense.
In variable costing,manufacturing overhead is incurred in the period that a product is produced, while in absorbtion cositng the cost will be divided into direct expense and indirect expense
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