When using job-order costing, which of the following costs is least likely to be known in a timely manner for decision-making purposes?
A) Direct labor costs
B) Administrative salaries
C) Direct materials costs
D) Manufacturing overhead costs

Question

Quizplus · Accepted Answer

Manufacturing overhead costs are often not directly tied to specific jobs and can include a variety of indirect costs such as utilities, rent, and maintenance. These costs are typically allocated to jobs using a predetermined overhead rate, making it more difficult to know the exact overhead cost associated with a specific job in a timely manner compared to direct costs like labor and materials.

When Using Job-Order Costing, Which of the Following Costs Is