Which of the Following Costs Is NOT an Inventoriable Cost

question 129

Multiple Choice

Which of the following costs is NOT an inventoriable cost for a manufacturing firm?

• A) Marketing Expense
• B) Factory Supervisor's Salary Expense
• C) Wages Expense for security guard in factory
• D) Wages Expense for forklift operator in factory

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Definitions:

Insolvent Company

A company that is unable to pay its debts as they come due, or whose liabilities exceed its assets in value.

Unsecured Liabilities

Debts or obligations that do not have specific assets pledged as collateral in case of default.

Federal Income Taxes

Taxes levied by the national government on annual income earned by individuals, corporations, trusts, and other legal entities.

Bankruptcy

A legal proceeding involving a person or business that is unable to repay outstanding debts.