Use of absorption costing allows a company to increase its profits by increasing the level of production of its products. True or False True False Under variable costing, all variable production costs are expensed when incurred. True or False True False In a job-order costing system, each department has a Work in Process account. True or False True False Pepperdine Company paid factory rent of $10,000. At the time this transaction occurred, it did not affect total assets or net income. True or False True False