Which of the following is a nonmanufacturing cost?
A)direct labor
B)direct materials
C)administrative expenses
D)indirect labor

Question

Quizplus · Accepted Answer

Administrative expenses are costs associated with the general management of a business and are not directly related to the production of goods. Direct labor and direct materials are both manufacturing costs. Indirect labor is also a manufacturing cost as it is related to the production process, but not directly involved in the creation of the product.

Which of the Following Is a Nonmanufacturing Cost