View all questions & answers for the P1 exam
A manufacturing company has more units of finished goods inventory at the end of a period than at the beginning of the period.
Which of the following statements is true?
Profit is higher and opening inventory valuation is higher using marginal costing than if throughput costing is used.
Profit is higher and opening inventory valuation is lower using marginal costing than if throughput costing is used.
Profit is higher and opening inventory valuation is lower using absorption costing than if marginal costing is used.
Profit is lower and opening inventory valuation is higher using marginal costing than if throughput costing is used.
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