A company has the following information:

-The ending inventory under absorption costing would be
A) $ 96,000.
B) $ 84,000.
C) $168,000.
D) $ 60,000.

Name: A company has the following information: -The ending inventory under absorption costing would be A) $ 96,000. B) $ 84,000. C) $168,000. D) $ 60,000.
Brand: Quizplus
Rating: 4.7 (38 reviews)

Question

A company has the following information:
 
-The ending inventory under absorption costing would be
A) $ 96,000. 
B) $ 84,000. 
C) $168,000. 
D) $ 60,000.

Quizplus · Accepted Answer

Under absorption costing, ending inventory includes both variable and fixed manufacturing costs. The correct calculation would result in an ending inventory value of $96,000.

A Company Has the Following Information