For financial reporting purposes,how are fixed manufacturing costs treated?
A)Included in the value of inventory.
B)Not included in the value of inventory.
C)Treated the same as in managerial accounting.
D)Not reported.

Question

Quizplus · Accepted Answer

Fixed manufacturing costs are included in the value of inventory for financial reporting purposes, as they are part of the production cost of the inventory items.

For Financial Reporting Purposes,how Are Fixed Manufacturing Costs Treated