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Author Question: Absorption costing enables managers to increase operating income by increasing the unit level of ... (Read 33 times)

ap345

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Question 1

Which of the following would be  subtracted from sales while calculating contribution margin in a variable costing format of an operating income statement?
◦ Direct labor in factory
◦ Rent on factory building
◦ Rent on the headquarters building
◦ Sales commission on incremental sales

Question 2

Absorption costing enables managers to increase operating income by increasing the unit level of sales, as well as by producing more units.
◦ true
◦ false


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Marked as best answer by ap345 on Mar 6, 2021

snackralk

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ap345

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Reply 2 on: Mar 6, 2021
YES! Correct, THANKS for helping me on my review


meow1234

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Reply 3 on: Yesterday
Great answer, keep it coming :)

 

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