Absorption costing conforms with generally accepted accounting principles.

Name: Absorption costing conforms with generally accepted accounting principles.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

Absorption costing is a method of assigning all production costs, including both fixed and variable costs, to the products being produced. This method is in line with generally accepted accounting principles as it considers all costs associated with producing a product and matches those costs with the revenue earned from selling the product.

Absorption Costing Conforms with Generally Accepted Accounting Principles