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Commerce · Q292

Costing

Graduate and Post Graduate · Commerce · question 292

Q292

Terms used in manufacturing cost systems are

A.
manufacturing costs
B.
prime costs
C.
conversion costs
D.
both B and C
Answer

Answer: Option D

Solution

Answer: Option D
Solution:
Terms used in manufacturing cost systems are prime costs and conversion costs. Manufacturing cost is the sum of costs of all resources consumed in the process of making a product.