Which of the following costs is the most likely to be traced to a customer in a service costing environment?
A) Rent costs
B) Labour costs
C) Administrative costs
D) Equipment depreciation costs

Question

Quizplus · Accepted Answer

Labour costs are the most likely to be traced to a customer in a service costing environment, as they are directly related to the time spent on each customer's service. Rent costs, administrative costs, and equipment depreciation costs are indirect costs that are difficult to allocate to specific customers.

Which of the Following Costs Is the Most Likely to Be