If Total Warehousing Cost for the Year Amounts to £350,000

question 24

Multiple Choice

If total warehousing cost for the year amounts to £350,000, and 40 per cent of the warehousing activity is associated with finished goods and 60 per cent with direct materials, how much of the cost would be charged as a product cost?

• A)£70,000
• B)£140,000
• C)£210,000
• D)£350,000

---

Definitions:

Arbitration Clause

A provision in a contract that requires the parties to resolve their disputes through arbitration rather than through litigation in courts.

E-commerce Disputes

Conflicts or disagreements arising from transactions conducted over electronic systems, particularly the internet.

Arbitration

Arbitration is a method of dispute resolution where a neutral third party, known as an arbitrator, makes a decision to resolve a dispute outside of court.

Mediation

A type of intensive negotiation in which disputing parties select a neutral party to help facilitate communication and suggest ways for the parties to solve their dispute.