If the quantity produced matches the quantity sold, which statement is accurate regarding absorption and variable costing?

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Inventories remain unchanged under both absorption and variable costing approaches.Absorption costing results in a greater net profit compared to variable costing.Variable costing yields a higher net income than absorption costing.Inventory values rise more with absorption costing than with variable costing.None of the above.

Explanation

When production equals sales, there is no change in inventory levels, so both absorption and variable costing methods reflect the same inventory values. Consequently, net income is identical under both costing methods in this scenario.