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Explain how costs are calculated using both methods. Which method is required by the generally accepted accounting principles (GAAP)?
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<br/><br/> <br/> <br/> -Explain how costs are calculated using both

methods.
-Which method is required by the generally accepted accounting principles (GAAP)?
-Develop an example in columnar format that compares the two methods of cost calculation using the following table:The unit product cost of the company is computed as follows:
 
Absorption costing Variable costing

Direct materials
 
 
Direct labor
 
 
Variable manufacturing overhead
 
 
Fixed manufacturing overhead
 
 
Total unit cost
 
 

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Subject: Accounting, Business

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