In a manufacturing company, the cost of direct labour treated as an expense when
A)products are sold.
B)products are transferred into work in process inventory.
C)wages are paid to the employees.
D)at month end with accruals for wages.

Question

Quizplus · Accepted Answer

Direct labor costs are treated as an expense when the products are sold, as they are part of the cost of goods sold.

In a Manufacturing Company, the Cost of Direct Labour Treated