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  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...

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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.

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