Costs that are shared in the manufacturing and marketing of several products in a product line are called joint costs.

Question

Quizplus · Accepted Answer

Joint costs are costs that are shared among several products in a product line, typically in manufacturing and marketing. These costs cannot be easily divided among individual products, as they are incurred for the entire product line as a whole. Examples of joint costs include expenses for research and development, packaging, and advertising that benefit multiple products in a line.

Costs That Are Shared in the Manufacturing and Marketing of Several