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Commerce · Q706

Costing

Graduate and Post Graduate · Commerce · question 706

Q706

Manufacturing, distribution and marketing costs incur after split off point is classified under

A.
separable costs
Answer
B.
joint costs
C.
main costs
D.
split off costs

Answer: Option A

Solution

Answer: Option A
Solution:
Manufacturing, distribution and marketing costs incur after split off point is classified under separable costs. Separable costs are any costs incurred after the split-off point in a production process that can be assigned to specific products.