Direct costs can be identified specifically and exclusively with a given cost objective in an economically feasible way.

Question

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Direct costs are costs that can be easily and accurately assigned to a specific cost objective, such as a product, department, or project. These costs are typically measurable and traceable to a specific activity or output. Direct costs are often contrasted with indirect costs, which are costs that cannot be easily attributed to a specific cost objective. Direct costs are typically relatively easy to calculate, since they are directly associated with a given cost objective and can be traced back to specific transactions or activities.

Direct Costs Can Be Identified Specifically and Exclusively with a Given