For a company that manufactures candy, how would the cost of sugar be classified?
A) Yes No
B) No Yes
C) Yes Yes
D) No No

Question

For a company that manufactures candy, how would the cost of sugar be classified? 
A) Yes No 
B) No Yes 
C) Yes Yes 
D) No No

Quizplus · Accepted Answer

The cost of sugar would be classified as a direct cost since it is a necessary and identifiable component in the manufacturing process of candy. It would also be classified as a variable cost since the amount of sugar needed would vary with the quantity of candy produced.

For a Company That Manufactures Candy, How Would the Cost