Under the variable costing approach, how do you account for fixed manufacturing overhead? It is fully expensed directly to the income statement in the period incurred None of these are correct It remains on the balance sheet and is carried forward as inventory It is prorated between the income statement and balance sheet based on how many units are produced versus sold in the period Question 7 (1 point) If a company was given a lump-sum cash receipt, this would cause the break even point to increase. True False