Full product cost is relevant for companies providing services as well as those providing products.

Question

Quizplus · Accepted Answer

Full product cost is relevant for both companies providing services and those providing products, as it includes all costs associated with providing the service or product, such as direct materials and labor, indirect overhead expenses, and any other costs related to producing the service or product. Understanding the full product cost is important for setting prices, controlling costs, and making profitable business decisions.

Full Product Cost Is Relevant for Companies Providing Services as Well