Costs identified as indirect labor should be ________.

Question

Quizplus · Accepted Answer

Indirect labor costs are those expenses incurred by employees who are not directly involved in the production process, such as supervisors or support staff. These costs are part of the manufacturing overhead and should be allocated to units produced, making A the correct answer. B is incorrect because indirect labor costs are not directly related to specific jobs or products, so charging them to direct labor on the job cost record would be inappropriate. C is incorrect because ignoring these costs would result in an inaccurate calculation of the full cost of goods produced. D is incorrect as this refers to an accrual for unpaid salaries and does not deal with the proper treatment of indirect labor costs.

Costs Identified as Indirect Labor Should Be ________