Into Which One of the Following Accounts Would the Work

question 2

Multiple Choice

Into which one of the following accounts would the work of factory employees, that can be physically and directly associated with converting raw materials into finished goods, be categorized?

• A)direct labour
• B)indirect labour
• C)manufacturing overhead
• D)indirect materials

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Definitions:

Cash Flow

The aggregate measure of capital movement into and from a business, significantly affecting its solvency.

Capital Budgeting

The process of evaluating and selecting long-term investments that are in line with the goal of maximization of shareholder wealth.

Income Tax Expense

The cost incurred by businesses and individuals due to earnings, computed based on tax rates and laws.

Capital Budgeting

The process of evaluating and selecting long-term investments that are in line with the goal of wealth maximization.