Budgeted cost of goods sold should include which of the following?
A) Raw materials and direct labor
B) Raw materials, direct labor, and manufacturing overhead
C) Raw materials, direct labor, manufacturing overhead, and selling expenses
D) Raw materials, direct labor, manufacturing overhead, selling expenses, and administrative expenses

Question

Quizplus · Accepted Answer

Budgeted cost of goods sold should include all direct and indirect manufacturing costs, including raw materials, direct labor, and manufacturing overhead. Selling and administrative expenses are not included in the cost of goods sold.

Budgeted Cost of Goods Sold Should Include Which of the Following