167. CSO: 1C1d LOS: 1C1f
When comparing absorption costing with variable costing, the difference in operating
income can be explained by the difference between the
a. units sold and the units produced, multiplied by the unit sales price.
b. ending inventory in units and the beginning inventory in units, multiplied by the
budgeted fixed manufacturing cost per unit.
c. ending inventory in units and the beginning inventory in units, multiplied by the
unit sales price.
d. units sold and the units produced, multiplied by the budgeted variable
manufacturing cost per unit.
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