Traditional basic input costs and direct transaction costs are the same except for the level of the transaction where each is applied.

Question

Quizplus · Accepted Answer

Traditional basic input costs refer to the costs of the inputs used to create a product or service, such as raw materials or labor. Direct transaction costs, on the other hand, refer to the costs of the actual transaction itself, such as legal fees or brokerage commissions. While they may be related, they apply to different aspects of the business process.

Traditional Basic Input Costs and Direct Transaction Costs Are the Same