Production Costs Do Not Include

question 69

Multiple Choice

Production costs do not include:

• A)direct materials
• B)direct labor
• C)variable overhead
• D)fixed overhead
• E)all of these are production costs.

---

Definitions:

Inventory's Supply

The total amount of goods and materials held in stock by a business or organization.

Ordering

The process of organizing or arranging items systematically or requesting goods or services.

Preferred Vendors

Selected suppliers or service providers that have been vetted and approved by an organization, often given preference due to reliability, cost, or quality.

Discounts

Reductions applied to the regular price of goods or services, often used as a promotional strategy to encourage sales.