Which of the Following Is a Manufacturing Overhead Cost

question 39

Multiple Choice

Which of the following is a manufacturing overhead cost?

• A) the use of direct materials in the making of a finished good
• B) labor cost of plant workers that can be traced accurately and easily to a particular product
• C) cost of materials that can be traced to individual products in an economically feasible manner
• D) overtime premiums paid to plant workers

---

Definitions:

Directors' Declaration

A statement by the company's directors asserting the accuracy of the financial statements.

Auditor's Report

A formal opinion issued by an auditor based on an audit of a company's financial statements, indicating whether the statements are free from material misstatement and accurately represent the company's financial position.

Financial Statements

A comprehensive set of reports including the balance sheet, income statement, cash flow statement, and statement of changes in equity, that together provide an overview of a company's financial position and performance.

Retrospective Restatement

A correction of the recognition, measurement, and disclosure of amounts of elements of financial statements as if a prior period error had never occurred.