The table that follows denotes selected characteristics of absorption costing and/or variable costing.
Changes to grid above:
Lower income when inventories rise (NOT "net" income)
External financial statement USE (NOT "users")
Required:
Evaluate each product-cost, period-cost, and income-statement/disclosure characteristic and determine whether it relates to absorption costing, variable costing, or both methods. Place an "X" in the proper column.

Question

The table that follows denotes selected characteristics of absorption costing and/or variable costing.  
Changes to grid above:
Lower income when inventories rise (NOT "net" income)
External financial statement USE (NOT "users")
Required:
Evaluate each product-cost, period-cost, and income-statement/disclosure characteristic and determine whether it relates to absorption costing, variable costing, or both methods. Place an "X" in the proper column.

Quizplus · Accepted Answer

The Answer of The table that follows denotes selected characteristics of absorption costing and/or variable costing.  
Changes to grid above:
Lower income when inventories rise (NOT "net" income)
External financial statement USE (NOT "users")
Required:
Evaluate each product-cost, period-cost, and income-statement/disclosure characteristic and determine whether it relates to absorption costing, variable costing, or both methods. Place an "X" in the proper column.

The Table That Follows Denotes Selected Characteristics of Absorption Costing