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Author Question: Top management at Gifford manufacturing are planning capacity levels and how to assign capacity ... (Read 164 times)

bobthebuilder

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on: Mar 6, 2021

Question 1

There is no output-level variance for variable costing, when ________.
◦ the inventory level decreases during the period
◦ the inventory level increases during the period
◦ fixed manufacturing overhead is allocated to work in process
◦ fixed manufacturing overhead is not allocated to work in process

Question 2

Top management at Gifford manufacturing are planning capacity levels and how to assign capacity costs for an upcoming period. Which of the following factors should be considered while developing this plan so that proper control can be achieved?
◦ The IRS tax implications of such decisions
◦ The level of uncertainty of expected costs and demand
◦ The GAAP rules requiring absorption costing
◦ The requirements of SFAS 151
Horngren's Cost Accounting: A Managerial Emphasis ¦ Datar, Rajan ¦ 16th Edition
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Marked as best answer by bobthebuilder on Mar 6, 2021

ApricotDream

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Reply #1 on: Mar 6, 2021
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bobthebuilder

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Reply 2 on: Mar 6, 2021
Excellent

Bigfoot1984

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Reply 3 on: Yesterday
Thanks for the timely response, appreciate it

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