Which of the following are usually included in conventional cost systems?
i.Direct material is traced to products
ii.Non-manufacturing costs are assigned to products.
iii.Manufacturing overhead is allocated using a production-volume-based cost driver.
A) i
B) ii
C) iii
D) i and iii

Question

Quizplus · Accepted Answer

Direct material is traced to products in conventional cost systems and manufacturing overhead is allocated using a production-volume-based cost driver. However, non-manufacturing costs are not typically assigned to products in conventional cost systems.

Which of the Following Are Usually Included in Conventional Cost