Indirect costs:
A)often comprise a large percentage of overall costs assigned to a cost object
B)specifically exclude marketing costs
C)cannot be used for external reporting
D)are treated as period costs and not as product costs

Question

Quizplus · Accepted Answer

Indirect costs are costs that are not directly traceable to a particular cost object, such as a product or service. They include overhead costs, such as rent, utilities, and salaries of support staff. Indirect costs often comprise a large percentage of overall costs assigned to a cost object.

Indirect Costs