Which of the Following Is an Asset

question 61

Multiple Choice

Which of the following is an asset?

• A)Service revenue
• B)Notes payable
• C)Supplies expense
• D)Prepaid rent

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Definitions:

Direct Materials Cost

The cost of raw materials that can be directly attributed to the production of a finished good.

Activity-Based Costing

A costing methodology that assigns overhead and indirect costs to specific products or activities based on their consumption of resources.

Direct Labor-Hours

The total hours worked by employees directly involved in the production of goods.

Direct Materials Cost

The cost of raw materials that are directly traceable to the production of a specific product.