Product which requires large amount of resources, but incur low per unit cost is classified as
A. product under costing
B. product over costing
C. expected under cost
D. expected over cost
Answer: Option A
Solution(By Examveda Team)
Product which requires large amount of resources, but incur low per unit cost is classified as product under costing. Product cost refers to the costs incurred to create a product. These costs include direct labor, direct materials, consumable production supplies, and factory overhead.Related Questions on Costing
Basic objective of cost accounting is ________
A. tax compliance.
B. financial audit.
C. cost ascertainment.
D. profit analysis.
Process costing is suitable for ________.
A. hospitals
B. oil refing firms
C. transport firms
D. brick laying firms
The cost which is to be incurred even when a business unit is closed is a _____.
A. imputed cost
B. historical cost
C. sunk cost
D. shutdown cost
Join The Discussion