Which statement is TRUE? An absorption costing income statement calculates gross profit; a variable costing income statement calculates contribution margin. Both variable costing and absorption costing income statements calculate contribution margin. A variable costing income statement calculates gross profit; an absorption costing income statement calculates contribution margin. Both variable costing and absorption costing income statements calculate gross profit. I DON'T KNOW YET
Which statement is TRUE? An absorption costing income statement calculates gross profit; a variable costing income statement calculates contribution margin. Both variable costing and absorption costing income statements calculate contribution margin. A variable costing income statement calculates gross profit; an absorption costing income statement calculates contribution margin. Both variable costing and absorption costing income statements calculate gross profit. I DON'T KNOW YET
Managerial Accounting: The Cornerstone of Business Decision-Making
7th Edition
ISBN:9781337115773
Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Chapter8: Tactical Decision-making And Relevant Analysis
Section: Chapter Questions
Problem 14MCQ
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Which statement is TRUE?
-
An absorption costing income statement calculates gross profit; a variable costing income statement calculates contribution margin.
-
Both variable costing and absorption costing income statements calculate contribution margin.
-
A variable costing income statement calculates gross profit; an absorption costing income statement calculates contribution margin.
-
Both variable costing and absorption costing income statements calculate gross profit.
-
I DON'T KNOW YET
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