Costs that repeat as project work continues such as the cost of writing code or laying bricks are appropriately classified as:
A) fixed costs.
B) indirect costs.
C) nonrecurring costs.
D) recurring costs

Question

Costs that repeat as project work continues such as the cost of writing code or laying bricks are appropriately classified as:​ 
A) fixed costs. 
B) indirect costs. 
C) nonrecurring costs. 
D) recurring costs

Quizplus · Accepted Answer

Recurring costs are costs that repeat as project work continues, such as the cost of writing code or laying bricks. This is in contrast to non-recurring costs, which are one-time costs such as purchasing equipment, or indirect costs, which are costs that cannot be directly attributed to a specific project but are necessary for the business to operate. Fixed costs are costs that do not change with the level of production or sales, such as rent or salaries. Therefore, the appropriate classification for costs that repeat as project work continues is recurring costs.

Costs That Repeat as Project Work Continues Such as the Cost