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    Question

    Which cost concept includes both variable and fixed

    manufacturing costs?
    A Marginal cost Correct Answer Incorrect Answer
    B Prime cost Correct Answer Incorrect Answer
    C Absorption cost Correct Answer Incorrect Answer
    D Direct cost only Correct Answer Incorrect Answer
    E Opportunity cost Correct Answer Incorrect Answer

    Solution

    Absorption costing includes fixed and variable manufacturing overheads in product cost.

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