A cost that would be included in product costs under both absorption costing and variable costing is: supervisory salaries. variable selling expenses. variable manufacturing costs. factory rent.

Respuesta :

Variable Manufacturing cost is the cost that will be included in product costs under both Absorption and variable costing.

What is Variable Manufacturing costs?

Variable cost are cost that do not vary with level of output. This means that variable costs increase as production rises and decrease as production falls.

Examples of variable manufacturing costs are:

  • Production supplies
  • Energy costs to run production lines.
  • Wages for those handling and shipping the product.

Hence, Variable Manufacturing costs is the cost that will be included in product costs under both Absorption and variable costing.

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