Absorption costing is also known as ___________.

Direct costing

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Forward costing

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Full costing

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Partial costing

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Solution

The correct option is C Full costing
Absorption costing means that all the manufacturing cost i.e. raw material, direct labor, direct expenses and overheads are absorbed by the units produced. Costs includes fixed as well as variable both.
Absorption costing is also known as full costing.

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