A Company Uses Sandpaper in Its Production Process

question 89

Multiple Choice

A company uses sandpaper in its production process.How is the cost of the sandpaper classified?

• A)an insignificant expense that can be ignored
• B)a direct material
• C)a period cost
• D)a product cost

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Definitions:

Lack of Specificity

The absence of detailed or precise characteristics or details.

Government Regulation

The laws and rules established by governmental bodies that businesses must follow to ensure compliance and protect public interests.

Religious Beliefs

The faith or convictions regarding the existence, nature, and worship of a deity or deities, and divine involvement in the universe and human life.

Disciplinary Action

Measures taken by an organization to correct or punish employee behavior that violates policies or standards.