The three categories of manufacturing costs comprising the cost of work in process are direct labor, direct materials, and:
A) office expenses
B) direct expenses
C) sales salaries expense
D) factory overhead

Question

Quizplus · Accepted Answer

The cost of work in process includes direct labor and direct materials, as well as factory overhead, which includes all indirect costs related to production, such as rent, utilities, and equipment maintenance. Office expenses and sales salaries expense are not considered part of the cost of work in process.

The Three Categories of Manufacturing Costs Comprising the Cost of Work