Which of the Following Costs Is the Most Likely to Be

question 3

Multiple Choice

Which of the following costs is the most likely to be traced to a customer in a service costing environment?

• A) Rent costs
• B) Labour costs
• C) Administrative costs
• D) Equipment depreciation costs

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Definitions:

Salary Expense

This is the total amount paid to employees for services rendered during a specific period, recorded as an expense on the income statement.