If the Production Department is the cost object,the salary of the factory supervisor is a(n)________ cost for the department.If the product made in the factory is the cost object,the salary of the factory supervisor is a(n)________ cost for the product.
A) direct; indirect
B) indirect; direct
C) direct; direct
D) indirect, indirect

Question

Quizplus · Accepted Answer

The factory supervisor's salary is an indirect cost for the product because it cannot be directly traced to a single product. However, it is a direct cost for the Production Department as it is directly associated with overseeing the department's operations.

If the Production Department Is the Cost Object,the Salary of the Factory