ch. 19 only part 7 100-200 words

Ch19 Case Study-Absorption Costing vs. Variable Costing Part 1: Describe the absorption costing income statement format. What is the benefit of using this income statement format for decision making purposes? Part 2: Describe the variable costing income statement format. What is the benefit of using this income statement format for decision making purposes? Part 3: When a company produces more inventory than it sells to customers, would the absorption costing income statement profits or the variable costing income statement profits be higher for the period and why Part 4: When a company sells more inventory to customers than it produces, would the absorption costing income statement profits or the variable costing income statement profits be higher for the period and why Part 5: Explain who the primary users are of an absorption costing income statement and why. Part 6: Explain who the primary users are of a variable costing income statement and why. Part 7: Explain the meaning of the Margin of safety and the Margin of safety ratio and provide an example for the Margin of safety and the Margin of safety ratio. Part 8: Explain and compare how to compute the units produced and sold for a Target Income and for the Break-even point and provide an example for computing the units produced and sold for a Target Income and for the Break-even point