Asked by
Grace Durham
on Nov 18, 2024Verified
Sprinkles for decoration (indirect material)
A)Prime costs
B)Conversion costs
C)Both prime and conversion costs
D)Neither prime nor conversion costs
Prime Costs
The combined direct costs of raw materials and labor that are directly involved in the production of a product.
Indirect Material
Materials used in the manufacturing process that are not directly incorporated into the final product, such as lubricants and cleaning supplies.
- Understand the concepts of prime costs and conversion costs.
Verified Answer
BG
Learning Objectives
- Understand the concepts of prime costs and conversion costs.
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