The principal difference between variable costing and absorption costing centers on:

The principal difference between variable costing end absorption costing centers on: whether variable manufacturing costs should be included in product costs. whether fixed manufacturing costs should be included in product costs. whether fixed manufacturing costs and fixed selling and administrative costs should be included in product costs. whether selling and administrative costs should be included in product costs.
The principal difference between variable costing end absorption costing centers on: whether variable manufacturing costs should be included in product costs. whether fixed manufacturing costs should be included in product costs. whether fixed manufacturing costs and fixed selling and administrative costs should be included in product costs. whether selling and administrative costs should be included in product costs.

DIFFERNCE BETWEEN VARIABLE COSTING & ABSORBTION COSTING
:
IN VARIABLE COSTING ALL VARIABLE DIRECT COST ( DIRECT
MATERIAL,DIRECT LABOUR,VARIABLE MANUFACTURING OVERHEAD) INCLUDED IN
PRODUCT COST…
IN ABSORBTON COSTING ALL MANUFACTURING COST WHETHER IT IS
VARIABLE & FIXED INCLUDED IN PRODUCT COST
SO IN BOTH COSTING DIFFERNCE IS FIXED MANUFACTURING OVERHEAD
WHICH IS INCLUDED IN ABSORBTION COSTING AS PRODUCT COST BUT DOES
NOT INCLUDED IN VARIABLE COSTING AS PRODUCT COST..
SO ANSWER
IS B) WHETHER FIXED MANUFACTURING COSTS SHOULD BE INCLUDED IN
PRODUCT COST…

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