1. Costs under both income statement formats (absorption and variable costing formats) are classified as product or period costs.

Group startsTrue or False

2.

Lean manufacturing (JIT, just-in-time) entails larger production runs so that economies of scale are developed.

Group starts True or False

3.

Fixed manufacturing overhead costs can be deferred in inventory, rather than treated as a period expense, under the variable costing approach.

Group startsTrue or False