In a traditional manufacturing company,what is included in product costs?
A)direct materials only
B)direct materials,direct labour,and factory overhead
C)direct materials and direct labour only
D)direct labour only

Question

Quizplus · Accepted Answer

In a traditional manufacturing company, product costs include direct materials, direct labour, and factory overhead. Direct materials refer to the cost of raw materials used in the production process. Direct labour refers to the cost of wages paid to employees directly involved in the production process. Factory overhead includes all other costs associated with the production process, such as rent, utilities, equipment, and indirect labour. Together, these three components make up the total product cost.

In a Traditional Manufacturing Company,what Is Included in Product Costs