Product costs include direct labor and conversion costs.

Name: Product costs include direct labor and conversion costs.
Brand: Quizplus
Rating: 4.8 (34 reviews)

Question

Quizplus · Accepted Answer

Product costs include all costs required to manufacture a product, including direct labor and conversion costs. Direct labor is the labor cost associated directly with the production of the product, while conversion costs include all manufacturing costs other than direct materials and direct labor, such as factory overhead, utilities, and maintenance expenses.

Product Costs Include Direct Labor and Conversion Costs