Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. if a firm uses absorption costing, which of the fo

If a firm uses absorption costing, which of the following actions taken by management would...

70.2K

Verified Solution

Question

Accounting

If a firm uses absorption costing, which of the following actions taken by management would increase gross profit even if sales do not increase?

a) Decreasing production and using items from inventory for sales.

b) Increasing production and building up inventory

c) Increasing fixed costs by investing in new production technology.

d) Increasing variable costs by purchasing higher-quality materials.

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

General Management
1.2K views

What is "RELUCTANCE TO SIMPLIFY" as it pertains to implications for leaders and managers in high...

Accounting
1.2K views

5. A broker offers to sell you shares of Bay Area Healthcare, which just paid a...

Geometry
1.2K views

State the coordinates of the point 10 5 10 5 5 10 y 5 10...

Algebra
1.2K views

Evaluate fog x 2 f x x 3x g x x 2 fog x

Accounting
1.2K views

! Required information [The following information applles to the questions displayed below.] ...

Accounting
1.2K views

Comfort Company purchased 300 units of inventory on November 17, 2024. The units have a...

Accounting
1.2K views

Rundle Company sells lamps and other lighting fixtures. The purchasing department manager prepared the following...

Finance
1.2K views

Given the selected financial statement data for KR Enterprises presented below, calculate the debt-to-capital ratio,...

Accounting
1.2K views

Which of the following is a false (untrue) statement? A. Gains on stock holdings are...

Accounting
1.2K views

. Both Thu and Tuan own one-half of the stock of Wren, Inc., a C...

Accounting
1.2K views

*how do I record the journal entry and calculate and record the gain and loss...

Accounting
1.2K views

Appendix One (Construct or lease) Objective: Should FFT lease or construct their own production...