Although the Australian Taxation Office (ATO)requires that business taxpayers ascertain the cost of
inventory using absorption costing,it does not specify the capacity concept that the taxpayer should use to calculate the fixed production cost per unit.

Question

Quizplus · Accepted Answer

The statement is true. The ATO requires absorption costing for inventory costing, but does not specify the capacity concept to calculate fixed production cost per unit.

Although the Australian Taxation Office (ATO)requires That Business Taxpayers Ascertain