Product costs for absorption costing include direct materials,direct labor and ________.
A) fixed manufacturing overhead costs
B) variable manufacturing overhead costs
C) fixed and variable selling costs
D) fixed and variable manufacturing overhead costs

Question

Quizplus · Accepted Answer

Absorption costing includes all manufacturing costs, including both fixed and variable manufacturing overhead costs. Direct materials and direct labor are also included. Selling costs are not included in product costs for absorption costing.

Product Costs for Absorption Costing Include Direct Materials,direct Labor and ________