The cost of freight-in
A) is to be included in the standard cost of direct materials.
B) is considered a selling expense.
C) should have a separate standard apart from direct materials.
D) should not be included in a standard cost system.

Question

Quizplus · Accepted Answer

Freight-in costs are considered part of the cost of purchasing inventory, including direct materials, and should be included in the standard cost of direct materials to accurately reflect the total cost of acquiring those materials.

The Cost of Freight-In