Question: What is the difference between absorption costing and variable costing? If variable costing is not GAAP, why do businesses use it

What is the difference between absorption costing and variable costing? If

What is the difference between absorption costing and variable costing? If variable costing is not GAAP, why do businesses use it

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!

Q:

Help Please Discussion Board \#6 What is the difference between absorption costing and variable costing? If variable costing is not GAAP, why do businesses use it? You must post your response before...

Q:

What is the difference between absorption costing and variable costing? If variable costing is not GAAP, why do businesses use it ?

Q:

600,000.0 30 160,000.0 8 3 Difference between Absorption Costing and Variable Costing Vadable Coating (Contribution Format 1/5) Sells Revenue -Direct Labor Direct Materials Absoption Costing...

Q:

PLEASE ONLY ATTEMPT IF YOU ARE GOING TO DO ALL QUESTIONS; IF NOT WILLING TO DO ALL QUESTIONS THEN DO NOT ATTEMPT THIS AS THERE ARE OTHER PEOPLE THAT WILL. THIS IS MY LAST QUESTION I CAN NOT AFFORD TO...

Q:

QUESTIONS 7-1 7-2 7-3 7-4 7-5 What is the difference between absorption costing and variable costing? Are selling and administrative expenses treated as product costs or as period costs under...

Q:

7-1 What is the difference between absorption costing and variable costing? 7-2 Are selling and administrative expenses treated as product costs or as period costs under variable 7-3 Explain how...

Q:

a. Based on the difference between absorption costing and variable costing, explain why profit calculated under the full (absorption costing) approach is influenced by changes in the level of both...

Q:

Explain the difference between absorption costing and variable costing. Why is absorption costing approved by GAAP, but variable costing is not? Relate the three budgeting concepts of planning,...

Q:

Perwira Holdings (PH) began business at the start of the current year and maintains its accounting records on an absorption-cost basis. The following selected information appeared on the company's...

Q:

Question 9 When comparing absorption and variable costing which of the following is false? a) The difference between absorption costing and variable costing is the treatment of fixed manufacturing...

Q:

The dean of your business school has determined that there are four major drivers of success for her business school. Those success drivers are having outstanding (1) faculty, (2) students, (3)...

Q:

Explain the difference between a defined benefit plan and a defined contribution plan.

Q:

One manufacturer is calculating the trade discount on a dog kennel with a list price of $255 and a trade discount series of 11/10/11. What is the trade discount? What is the net price for the kennel?...

Q:

Because of the different views about contractors, who, and why should or should not be considered a contractor? For example Uber and Lyft drivers

Q:

1. Identify examples of mind reading, and describe their impact on Marthas and Andys discussion. Apply what youve learned in this chapter by analyzing the following case study, using the accompanying...

Q:

6. As a class, identify ways in which faculty at your school confi rm and disconfi rm students. Be specifi c in naming particular types of communication (and examples) that are confi rming and...

Q:

4. How often do you use exit, voice, loyalty, and neglect responses to confl ict? What are the effects?