In the manufacturing of swimsuits, in addition to the price of fabric, the standard materials price includes all of the following items except
A)the cost of shipping.
B)the cost of advertising.
C)a volume discount.
D)sales taxes.

Question

Quizplus · Accepted Answer

The standard materials price only includes the cost of the actual materials used in making the swimsuits, such as the fabric, elastic, and thread. Advertising costs would not be considered a materials price, but rather a separate expense for promoting and marketing the product. Shipping costs may be included depending on the specific terms of the agreement, and sales taxes may vary depending on the location of the manufacturer and the purchaser. A volume discount may be applied to incentivize larger orders, but would still be considered a part of the materials price.

In the Manufacturing of Swimsuits, in Addition to the Price