Which one of the following statements about costs of aggregate plans is best?
A) Overtime wages are typically 50 percent of regular time, exclusive of fringe benefits.
B) The cost of capital is not generally included in the inventory holding cost.
C) Fringe benefits, which are a part of regular-time costs, do not typically include health insurance and paid vacations.
D) Hiring costs include the costs of advertising jobs, interviews, training programs for new employees, and initial paperwork.

Question

Quizplus · Accepted Answer

Hiring costs include not only the cost of advertising jobs but also interviews, training programs for new employees, and initial paperwork. Option A is incorrect, as overtime wages are typically 150 percent of regular time, inclusive of fringe benefits. Option B is incorrect, as the cost of capital is typically included in the inventory holding cost. Option C is incorrect, as health insurance and paid vacations are usually included in fringe benefits.

Which One of the Following Statements About Costs of Aggregate