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Finance assignment

Finance assignment

Q Which method do you think allows for the greatest manipulation of net income; variable or absorption costing and why? Discuss any ethical concerns associated with your answer.

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Absorption and variable methods of costing are two separate methods of costing. The two methods are used by almost all companies that are successful. Substitution of absorption costing and variable costing for one another may not be possible due to limitations and benefits of their own. Internal management uses the provided information by the method of variable costing for the purposes of the making of the decision. Information is provided