Prime Cost Is the Sum of Direct Materials Cost and Direct

question 342

True/False

Prime cost is the sum of direct materials cost and direct labor cost.

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Definitions:

Implied Assumption

An unstated understanding or expectation within an agreement or contract, often derived from the actions of the parties or the context of the agreement.

Expressly Agrees

A term indicating that a party has explicitly consented to an agreement or condition, leaving no doubt about their intention.

Assumption Of Risk

A legal defense that claims an individual knowingly and voluntarily assumed the risks inherent to a dangerous activity or condition.

Negligence Lawsuit

A legal action brought against an individual or entity for causing harm through careless actions or a failure to act when there was a duty to do so.