When comparing absorption costing with variable costing, the difference in operating income can be explained by the difference between the:
Answers
Answered by
1
Answer:
Absorption costing includes all costs, including fixed costs, related to production, while variable costing only includes the variable costs directly incurred in production. Companies that usevariable costing keep fixed-cost operatingexpenses separate from production costs.
Similar questions
English,
6 months ago
Math,
6 months ago
Business Studies,
1 year ago
Psychology,
1 year ago
Music,
1 year ago