Teaching Accountancy Cost Accounting Question Bank MCQ - Cost Accounting

  • question_answer
    Consider the following statements
    I. Marginal costing and absorption costing are the same.
    II. For decision-making, absorption costing is more suitable than marginal costing.
    III. Cost volume profit relationship also denote breakeven point.
    VI. Marginal costing is based on the distinction between fixed and variable costs.
    Which of the statements given above are correct?

    A)  I and II                                    

    B)  II and III

    C)  III and IV                                 

    D)  IV and II

    Correct Answer: D


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