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A Manufacturing Plant Produces Two Product Lines: Golf Equipment and Soccer

Question 24

Multiple Choice

A manufacturing plant produces two product lines: golf equipment and soccer equipment. An example of direct costs for the golf equipment line are:


A) beverages provided daily in the plant break room
B) monthly lease payments for a specialized piece of equipment needed to manufacture the golf driver
C) salaries of the clerical staff that work in the company administrative offices
D) utilities paid for the manufacturing plant

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