Manufacturing overhead is a
A)direct, variable, product cost.
B)direct, variable period costs.
C)indirect, variable, product cost.
D)indirect, fixed or variable, product cost.

Question

Quizplus · Accepted Answer

Manufacturing overhead is an indirect cost as it cannot be directly traced to a product. It can be either fixed or variable and is incurred in the production process. As it is a cost related to production, it can be considered a product cost. Therefore, the correct answer is D.

Manufacturing Overhead Is a