Question:

Prime cost may be correctly termed as 24

A.

the total of all cost items which can be directly charged to product units.

B.

the sums of all direct materials and labour cost excluding all other cost.

C.

the total costs incurred in producing a finished unit.

D.

the sum of the large cost in product cost.

Answer» a. the total of all cost items which can be directly charged to product units.