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When inventory increases, absorption costing net operating income is higher than variable costing net income due to the fixed manufacturing overhead deferred in the inventory
When inventory increases, absorption costing net operating income is higher than variable costing net income due to the fixed manufacturing overhead
deferred in the inventory account on the balance sheet
released to the cost of goods sold account on the income statement
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Construction accounting and financial management
Authors: Steven j. Peterson
2nd Edition
135017114, 978-0135017111
