26&27

QUESTION 26 The difference between variable costing and absorption costing is caused by: Oa. Variable manufacturing overhead Ob. Direct labor Oc. Direct materials Od. Fixed manufacturing overhead Oe. Selling and administrative expenses QUESTION 27 Incremental costs: a. are the additional costs associated with one of the alternatives. b. are always equal to the incremental revenues c. should always be avoided. d. are incurred regardless of the decision being made