Custom Quilters makes decorative comforters,quilted garments,and other products in a small sewing factory.The company expects to make 2,000 comforters during the current year.With respect to the comforters,how would the supervisory salaries be classified?
A) Direct and variable
B) Direct and fixed
C) Indirect and variable
D) Indirect and fixed

Question

Quizplus · Accepted Answer

Supervisory salaries are considered indirect costs as they are not directly attributable to the production of a specific product. Additionally, they are typically fixed costs as they do not vary with the number of units produced. Therefore, option D (indirect and fixed) is the correct choice.

Custom Quilters Makes Decorative Comforters,quilted Garments,and Other Products in a Small