________ method includes fixed manufacturing overhead costs as inventoriable costs.
A) Variable costing
B) Absorption costing
C) Throughput costing
D) Activity-based costing

Question

Quizplus · Accepted Answer

Absorption costing is the method that includes fixed manufacturing overhead costs as inventoriable costs, while variable costing only considers variable costs as inventoriable costs. Throughput costing only considers direct materials costs as inventoriable costs, and activity-based costing allocates costs based on activities rather than considering fixed overhead costs as part of inventoriable costs.

________ Method Includes Fixed Manufacturing Overhead Costs as Inventoriable Costs