Classifying a Cost as Either Direct or Indirect Depends Upon

question 95

Multiple Choice

Classifying a cost as either direct or indirect depends upon

• A)the behaviour of the cost in response to volume changes.
• B)whether the cost is expensed in the period in which it is incurred.
• C)whether the cost can be traced to the cost object.
• D)whether an expenditure is avoidable or not in the future.
• E)the inventory classification system.

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Definitions:

Haploid Gametes

Sex cells (sperm or ova) containing half the number of chromosomes of a normal cell, crucial for sexual reproduction.

Mesoderm

The middle layer of the three primary germ layers in the early embryo, which develops into muscles, bones, circulatory system, and other internal organs.

Ectoderm

The outermost layer of cells or tissue of an embryo in early development, giving rise to the epidermis and nervous system.

Endoderm

The innermost layer of cells or tissue of an embryo in early development, which gives rise to the lining of the digestive and respiratory systems.