What Statement Is NOT True Regarding the Insurance Paid on a Factory

question 109

Multiple Choice

What statement is NOT true regarding the insurance paid on a factory?

• A)It is a direct cost if the cost object is the factory.
• B)It is an indirect cost if the cost object is the product produced.
• C)It is a direct cost if the cost object is the accounting department.
• D)It is an indirect cost if the cost object is the production department.

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Definitions:

Tariff Revenue

The income earned by a government from levying taxes on imported goods.

Job Creation

Job creation is the process of generating new employment opportunities within an economy, often influenced by economic policies, market demand, and business growth.

World Price

The international market price of a good or service, determined by global supply and demand conditions.

Import

The process of bringing goods or services into a country from abroad for sale.