Direct materials, direct labour, and manufacturing overhead are the three classifications of manufacturing costs.

Question

Quizplus · Accepted Answer

Direct materials, direct labour, and manufacturing overhead are indeed the three classifications of manufacturing costs. Direct materials refer to the raw materials used to make a product, direct labour refers to the wages paid to workers who manufacture the product, and manufacturing overhead includes all other indirect costs incurred during the production process.

Direct Materials, Direct Labour, and Manufacturing Overhead Are the Three