The level of inventory of a manufactured product has increased by 8,000 units during a period. The following data are also available: What would be the effect on income from operations if absorption costing is used rather than variable costing? a. $48,000 decrease b. $48,000 increase c. $52,000 increase d. $60,000 increase A series of budgets for varying rates of activity is termed a(n): a. flexible budget b. variable budget c. master budget d. activity budget Income from operations of the Snack Foods Division is $2, 225,000. If income from operations before service deportment charges is $3, 250,000: a. operations expenses are $1, 025,000 b. total service department charges are 41, 025,000 c. noncontrollable charges are $1, 025,000 d. direct manufacturing charges are $1, 025,000 The costs of services charged to a profit center on the basis of its use of those recessives are called: a. operating expenses b. noncontrollable charges c. service department charges d. activity charges The standard costs and actual costs for direct materials, direct labor, and factory overhead for the manufacture of 2, 500 units of product are as follows