Select the Appropriate Classification of the Items Listed Below

question 100

Multiple Choice

Select the appropriate classification of the items listed below.
-Chief of surgery's salary at a hospital

• A)selling expense
• B)administrative expense
• C)direct materials
• D)direct labor
• E)overhead

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Definitions:

Financial Advantage

Financial advantage refers to the benefit obtained from making a financial decision that results in positive outcomes, such as cost savings or increased revenue.

Costs Associated

Expenses that are linked to a specific product, activity, or department within a business.

Special Order

An order for a product or service that is outside of the company's regular operations or production schedule, often requiring special pricing or conditions.

Excess Capacity

Refers to a situation where a company has more production capability available than is necessary to meet demand, often resulting in unused resources or facilities.