Which of the Following Is Quite Often Not Incremental

question 68

Multiple Choice

Which of the following is quite often not incremental?

• A)Direct labor
• B)Direct material
• C)Variable manufacturing overhead
• D)Fixed manufacturing overhead

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Definitions:

Direct Materials

Ingredients that are identifiable as directly contributing to the creation of a product.

Direct Labor

The cost of labor directly involved in the manufacture of products, such as wages paid to workers on the assembly line.

Manufacturing Overhead

All indirect costs associated with the production process, including utilities, depreciation, and salaries of non-direct labor.

Direct Labor

Direct labor refers to the wages paid to employees who are directly involved in the production of goods or services.