Which of the Following Work Sectors Involves the Production of Manufactured

question 45

Multiple Choice

Which of the following work sectors involves the production of manufactured goods from raw materials (e.g. paper from wood) ?

• A) primary
• B) secondary
• C) tertiary
• D) para-professional

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Definitions:

Prime Costs

The combination of direct material and direct labor expenses incurred in producing a product.

Direct Materials

Raw materials that can be directly traced to the production of finished goods, considered a variable cost and included in the calculation of the cost of goods sold.

Direct Labor

The wages and other compensation paid to employees who are directly involved in the production of goods or services.

Direct Material

Direct material refers to the raw materials that can be directly attributed to the production of goods, essentially part of the finished product.