Which of the Following Can Always Be Physically Traced to the Cost

question 65

Multiple Choice

Which of the following can always be physically traced to the cost object?

• A) Variable costs
• B) Prime costs
• C) Conversion costs
• D) Overhead costs

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Definitions:

Labor

The human effort, both physical and mental, used in the production of goods and services.

Natural Resources

Materials or substances such as minerals, forests, water, and fertile land that occur in nature and can be used for economic gain.

Oil Reserves

Quantities of crude oil that are discovered and confirmed by geologic and engineering information to be commercially recoverable under existing economic and operating conditions.

Extra Calories

Consumed energy that exceeds the amount a person needs to maintain their body weight, often leading to weight gain if not countered with increased physical activity.