Under absorption costing, fixed overhead is:
A)Not a product cost
B)Expensed in the period incurred
C)Expensed when the inventory is sold
D)A period cost

Name: Under absorption costing, fixed overhead is: A)Not a product cost B)Expensed in the period incurred C)Expensed when the inventory is sold D)A period cost
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Question

Quizplus · Accepted Answer

Under absorption costing, fixed overhead is included in the cost of inventory and is expensed as part of the cost of goods sold when the inventory is sold.

Under Absorption Costing, Fixed Overhead Is