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IIA-CIA-PART3 · Question #25

Which of the following lists best describes the classification of manufacturing costs?

The correct answer is B. Overhead costs, direct labor, direct materials. See the full explanation below for the reasoning.

Question

Which of the following lists best describes the classification of manufacturing costs?

Options

  • ADirect materials, indirect materials, raw materials.
  • BOverhead costs, direct labor, direct materials.
  • CDirect materials, direct labor, depreciation on factory buildings.
  • DRaw materials, factory employees' wages, production selling expenses.

How the community answered

(32 responses)
  • A
    3% (1)
  • B
    78% (25)
  • C
    13% (4)
  • D
    6% (2)

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