Blackburn Limited produces a stylish standard lamp. Which one of the following is not an indirect production cost?

Question

Quizplus · Accepted Answer

Indirect production costs are those costs that are not directly related to the production of goods, such as maintenance of machines, rent, utilities, and cleaning of the factory. However, royalties paid to the designer are a direct cost related to the product being produced, and therefore not an indirect production cost.

Blackburn Limited Produces a Stylish Standard Lamp