- Why should the sales budget influence the production budget? a. The sales and production managers are on the same level b. They are the most important budgets C. The sales and production managers are two senior members of the budget committee C d. The production budget flows into the sales budget e. The sales budget flows into the production budget -The contribution-margin format of the statement of comprehensive income Is used with absorption costing a. b. Highlights the lump sum of fixed manufacturing costs C Distinguishes manufacturing costs from non-manufacturing costs d. Calculates gross margin e. Calculates net margin -Which of the following is not a product cost under full-absorption costing? a. Direct materials used in the current period b. Rent for warehouse used to store current direct materials C. Salaries paid to the top management in the company Cd. Vacation pay accrued for the production workers e. Direct labour expenses