Newtech Inc. hires John for the position of a software programmer to work on their new project. Salary paid to John by Newtech Inc. would be an example of _____ costs.
A)direct
B)indirect
C)sunk
D)intangible

Question

Newtech Inc. hires John for the position of a software programmer to work on their new project. Salary paid to John by Newtech Inc. would be an example of _____ costs.
A)direct
B)indirect  
C)sunk
D)intangible

Quizplus · Accepted Answer

Direct costs can be directly related to creating the products and services of a project. For instance, direct costs include the salaries of people working full time on a project.