Which of the following typically would be considered an incremental cost?
A) Conversion cost
B) Direct product cost
C) Period cost
D) Factory overhead cost

Question

Quizplus · Accepted Answer

Direct product cost is the cost that is directly related to producing a particular product. Incremental cost refers to the additional cost incurred by producing an extra unit of product or service. Therefore, direct product cost is typically considered an incremental cost.

Which of the Following Typically Would Be Considered an Incremental