Which of the Following Costs Does Not Become a Part

question 71

Multiple Choice

Which of the following costs does not become a part of inventory of a manufacturer?

• A)The cost of raw materials used.
• B)The cost of factory overhead.
• C)The cost of rent on the factory building.
• D)Rent on corporate headquarters.

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Definitions:

Worm Gear

Spiraled single-groove shaft gear.

Hourglass Shape

Describes an object or figure with a narrow middle section flanked by wider top and bottom sections, resembling the shape of an hourglass.

Over-center Operation

A mechanical principle where a lever or mechanism goes beyond the center point of its range, achieving a locked or stable position.

Air Power Steering

A type of power steering system that uses compressed air to reduce the force needed to steer the vehicle, enhancing maneuverability.