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Which of the Following Statements Is True

Question 46

Multiple Choice

Which of the following statements is true?


A) Money spent on indirect material purchases is always higher than money spent on direct material purchases.
B) Typically,an equal percentage of money is spent on direct and indirect material purchases.
C) Money spent on indirect materials is not as high as money spent on direct materials,but it can still be significant.
D) Money spent on direct materials is linearly related to the money spent on indirect materials.

Correct Answer:

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