In a job order cost accounting system used by a service business, which of the following items would normally not be included as part of overhead?
A) Materials
B) Direct labor
C) Rent
D) Supplies

Question

Quizplus · Accepted Answer

Direct labor is typically considered a direct cost, not overhead, in a job order cost accounting system. Overhead generally includes indirect costs like rent and supplies.

In a Job Order Cost Accounting System Used by a Service