An example of a fixed factory overhead cost is:
A) direct labour.
B) light and power.
C) council rates and taxes.
D) indirect materials.

Name: An example of a fixed factory overhead cost is: A) direct labour. B) light and power. C) council rates and taxes. D) indirect materials.
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Question

Quizplus · Accepted Answer

Council rates and taxes are fixed factory overhead costs because they do not vary with the level of production or output within a certain range. They are incurred regardless of the factory's production volume.

An Example of a Fixed Factory Overhead Cost Is