题目内容

Do the statements below relate to absorption costing or marginal costing?Required for inventory valuation under IAS 2

Absorption costing
B. Marginal costing

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Fixed costs treated as a period cost

Absorption costing
B. Marginal costing

Easier for managers to understand

Absorption costing
B. Marginal costing

Shows the lowest price at which a product can be sold in the long term

Absorption costing
B. Marginal costing

Pear Co manufactures a product that passes through one process, Process P. During the month of July, the following related to Process P.All losses have a scrap value of $1.25.What is the full cost value of the normal losses credited to Process P for July?

A. $500
B. $750
C. $1,000
D. $600

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