Manufacturing costs are classified into 4 categories. True or False?
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Introduction:
Costs incurred while manufacturing a product are manufacturing costs. These costs are both direct costs and indirect costs.
Direct costs are costs which are directly accountable for the product while indirect costs are costs which are not directly accountable for the product.
The manufacturing costs are further classified into various categories which is discussed below:
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