Which of the Following Statements Is True of Conversion Costs

question 34

Multiple Choice

Which of the following statements is true of conversion costs?

• A) In process costing, they include all the factors of production.
• B) They include all manufacturing costs including direct materials, direct labor, and other direct and indirect manufacturing costs.
• C) In process costing, they are usually considered to be added evenly throughout the production process.
• D) They include only direct materials and excludes all other manufacturing and non-manufacturing costs.

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