The three basic elements of the cost of a manufactured product are:
A)indirect materials, indirect labour, and manufacturing overhead
B)merchandise inventory, work in process, and finished goods inventory
C)direct materials, work in process, and finished goods inventory
D)direct materials, direct labour, and manufacturing overhead

Question

Quizplus · Accepted Answer

The three basic elements of the cost of a manufactured product are direct materials (the raw materials directly used in the product), direct labour (the work of employees directly involved in manufacturing the product), and manufacturing overhead (all other costs associated with manufacturing that are not direct materials or direct labour, such as utilities, depreciation on manufacturing equipment, and factory rent).

The Three Basic Elements of the Cost of a Manufactured