Vidyalelo
Commerce · Q11

Costing

Graduate and Post Graduate · Commerce · question 11

Q11

Audit fess is a part of _______.

A.
works on cost
B.
selling overhead
C.
distribution overhead
D.
administration overhead
Answer

Answer: Option D

Solution

Answer: Option D
Solution:
Audit fess is a part of administration overhead. Administrative overhead is those costs not involved in the development or production of goods or services. This is essentially all overhead that is not included in manufacturing overhead.