Which of the Following Is Not an Indirect Material

question 75

Multiple Choice

Which of the following is not an indirect material?

• A)Supplies used in supporting the production process which may not be part of the final product
• B)Direct material that is not a significant part of the product
• C)Material used that is inexpensive, making it not cost effective to trace its cost back to the product
• D)Office supplies used by the human resources department

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Definitions:

IASB Members

Individuals who are part of the International Accounting Standards Board, responsible for developing and enforcing financial reporting standards globally.

Economic Incentives

Financial or material rewards provided to businesses, individuals, or governments to encourage certain behaviors or actions.