Soles Is a Footwear Company Which Has Recently Set Up

question 71

Multiple Choice

Soles is a footwear company which has recently set up its store in Ambrosia. To manufacture its products, Soles incurs a range of different costs. Which of the following would be an example of an indirect cost?

• A)Cost of machines to produce shoes  
• B)Salary paid to factory workers  
• C)Electricity used to run its factories  
• D)Cost of leather used to manufacture shoes

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Definitions:

Material Possessions

Items of physical property owned by individuals or groups, including things like homes, cars, and personal belongings.

New England Colonies

The early British colonies in the northeastern region of what became the United States, including Massachusetts, Connecticut, Rhode Island, and New Hampshire.

Chesapeake Colonies

The British colonies established in the Chesapeake Bay region, primarily Virginia and Maryland, known for their tobacco-based plantation economy.

Institution of Slavery

A social and economic system where individuals are owned by others, deprived of personal freedom, and compelled to perform labor or services.