All the following would typically be considered indirect costs of manufacturing a
particular Boeing 747 to be delivered to Singapore Airlines: electricity to run production equipment, the factory manager's salary, and the cost of the General Electric jet engines installed on the aircraft.

Question

Quizplus · Accepted Answer

Electricity to run production equipment and the factory manager's salary are indirect costs because they cannot be directly traced to the production of a specific Boeing 747. However, the cost of the General Electric jet engines installed on the aircraft is a direct cost, as it can be directly attributed to the manufacturing of that specific airplane.

All the Following Would Typically Be Considered Indirect Costs of Manufacturing