Given the following data, total product cost per unit under absorption costing will be greater than total product cost per unit under variable costing.

Question

Quizplus · Accepted Answer

Under absorption costing, fixed manufacturing overhead costs are included in the product cost per unit, while under variable costing they are not. This means that total product cost per unit will be higher under absorption costing because it includes more costs.

Given the Following Data, Total Product Cost Per Unit Under