B. If finished goods inventory increases, absorption costing outcomes in greater income.

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C. Change manufacturing expenses are reduced under variable costing.

D. Gross margins space the exact same under both costing methods.


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B. If finished products inventory increases, absorb costing results in greater income. The factor is that several of the fixed production overhead incurred during the period will be lugged forward in price finished products inventory ( i beg your pardon reduces cost of sales) to be collection against sales revenue in the following duration instead the being created off in full versus profit in the period.

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