Labor costs that are clearly associated with specific units or batches of product because the labor is used to convert raw materials into finished products are called:
A) Sunk labor.
B) Direct labor.
C) Indirect labor.
D) Finished labor.
E) All of these.

Question

Quizplus · Accepted Answer

Direct labor costs are directly associated with the production of a specific unit or batch of product, as they are used to convert raw materials into finished goods.

Labor Costs That Are Clearly Associated with Specific Units or Batches