Examlex
Which of the following pairs is mismatched?
Factory Overhead
All indirect costs associated with manufacturing beyond direct materials and direct labor, such as utilities, maintenance, and depreciation.
Prime Costs
The direct costs of manufacturing an item, which typically include direct labor and direct materials.
Factory Overhead Costs
Costs incurred from running a manufacturing plant that cannot be directly associated with any particular product, such as utilities, depreciation, and maintenance expenses.
Direct Materials
Raw materials that can be directly traced to the production of a specific product and are a significant portion of the production cost.
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