Which of the Following Costs Are Not Accounted for on the Income

question 3

Multiple Choice

Which of the following costs are not accounted for on the income statement?

• A)Direct labor
• B)Indirect labor
• C)Opportunity cost
• D)Legal costs

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Definitions:

Holder in Due Course

A term referring to a person who has acquired a negotiable instrument in good faith and for value, and thus has certain protections against defenses and claims that could be asserted against the original party.

Personal Defense

Measures or actions taken by an individual to protect themselves against harm or danger.

Negotiable Instrument

An official note promising the payment of a designated amount of money, either immediately upon asking or at a fixed time, with the individual who is to pay mentioned in the note.

Lack of Delivery

Failure to physically transfer a product, item, or document to its recipient or to fulfill a promise or obligation by the agreed-upon date.