Prime Costs Are the Combination of Direct Materials and Direct

question 178

True/False

Prime costs are the combination of direct materials and direct labor costs.

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Definitions:

Consideration

Something of value that is exchanged between parties within a contract, giving it legal validity.

Offer And Acceptance

Fundamental concepts in contract law which determine when an agreement exists between two parties. An offer is a proposal while acceptance is the agreement to that proposal.

Negotiability

The quality of a financial instrument that allows it to be transferred or assigned from one party to another with ease.

Unconditional Promise

A commitment to act or refrain from acting in a certain manner that does not rely on any conditions or occurrences for its fulfillment.