Which of the Following Is Not Included in Conversion Costs

question 96

Multiple Choice

Which of the following is not included in conversion costs?

• A) Direct labor.
• B) Factory overhead.
• C) Indirect labor.
• D) Direct materials.

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Definitions:

Per-unit Burden

The financial impact or cost of a tax, fee, or regulation expressed on a per unit basis.

Tax

Compulsory contributions made to government revenues, levied by the government on workers' income and business profits, or added to the cost of some goods, services, and transactions.

Per-unit Burden

The tax cost to a buyer or a seller for each unit of a good or service, often used to analyze the effect of taxes on market equilibrium.

Tax

A financial charge or other levy imposed upon a taxpayer by a governmental organization in order to fund government spending and various public expenditures.