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Cost Allocation Techniques
?
In an income statement prepared as an internal report using variable costing, variable selling and administrative expenses would:
not be used.
be used in the computation of the contribution margin.
be used in the computation of net operating income but not in the computation of the contribution margin.
be treated the same as fixed selling and administrative expenses.
Show Result
Correct
- Your answer is correct.
Wrong
- Your answer is wrong.
Detailed Answer
Correct answer: (B)
be used in the computation of the contribution margin.
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