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1. Which of the following is false? A. The contribution margin is equal to sales revenue minus variable expenses. B. Under absorption costing, the fluctuation
1. Which of the following is false?
A. The contribution margin is equal to sales revenue minus variable expenses.
B. Under absorption costing, the fluctuation of inventory levels will impact operating income, regardless of sales revenue.
C. Operating income of manufacturers will always be the same regardless of whether variable or absorption costing is used.
D. A contribution margin income statement is organized by cost behavior.
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