Question $6$

$5$ pts

$($CO A$)$ For a manufacturing company's first year in business, the firm produced more units of product than it sold. The result of this will be that

net income reported using absorption $($full$)$ costing will be higher than variable costing.

net income reported using absorption $($full$)$ costing will blower than variable costing.

net income reported using absorption $($full$)$ costing will be the same as variable costing.

net income must be reported only by using variable costing.