22 Which statements about absorption costing are correct? 1 It can be used as a basis for calculating the selling price of a product. 2 It ensures that all the costs of the business are charged to the production. 3 It ensures that only variable costs are charged to production. 4 It is used to calculate the factory cost for a unit of production.

Source: February/March 2018 - Paper 12 · 22 · 2018