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Supplies, plant maintenance, plant rent, plant insurance and cleaning labour comes under which type of costs?

A. labour costs

B. factory overhead costs

C. finished costs

D. manufacturing costs

Answer: Option B

Solution(By Examveda Team)

Supplies, plant maintenance, plant rent, plant insurance and cleaning labour comes under factory overhead costs. Factory overhead is the costs incurred during the manufacturing process, not including the costs of direct labor and direct materials. Factory overhead is normally aggregated into cost pools and allocated to units produced during the period.

This Question Belongs to Commerce >> Costing

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