Which of the following is a reason for easy identification and control of variable manufacturing costs under the variable costing method?

A) Variable and fixed costs are reported separately.
B) Variable costs can be controlled by the operating management.
C) Fixed costs, such as property insurance, are normally the responsibility of higher management not the operating management.
D) all of these choices

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Tasha Stephens · Accepted Answer

Final Answer : D, Explanation :  Variable costing makes it easier to identify and control variable manufacturing costs because it separates variable and fixed costs, acknowledges that variable costs can be controlled by operating management, and recognizes that fixed costs like property insurance are usually managed by higher management levels.

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