Which of these statements concerning the determination of the full cost of a cost object is not true?
A) direct costs are traced via source documentation
B) overheads are included
C) indirect costs are allocated via the use of a cost driver
D) full cost includes only manufacturing costs

Question

Quizplus · Accepted Answer

Full cost includes not only manufacturing costs but also other costs such as administrative and selling expenses. The statement that full cost includes only manufacturing costs is not true.

Which of These Statements Concerning the Determination of the Full