Which of the following are included in conversion costs?
A)direct labour and manufacturing overhead
B)direct materials and administrative costs
C)direct materials and manufacturing overhead
D)direct labour and administrative costs

Question

Quizplus · Accepted Answer

Conversion costs include direct labour and manufacturing overhead, which are the costs involved in converting raw materials into finished products. Direct materials and administrative costs are not included in conversion costs as they are not directly related to the production process.

Which of the Following Are Included in Conversion Costs