Which One of the Following Statements About Costs of Sales

question 149

Multiple Choice

Which one of the following statements about costs of sales and operations plans is BEST?

• A)Overtime wages are typically 50% of regular time wages,exclusive of fringe benefits.
• B)The cost of capital is not generally included in the inventory-holding cost.
• C)Fringe benefits,which are a part of regular-time costs,do not typically include health insurance and paid vacations.
• D)Hiring costs include the costs of advertising jobs,interviews,training programs for new employees,and initial paperwork.

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Definitions:

Sales Dollars

The total revenue generated from the sale of goods or services by a company before any expenses are deducted.

Common Fixed Expenses

Costs that do not change with the level of output or sales, shared across different sections or products of a business.

Break-Even

The point at which total costs and total revenue are equal, resulting in no net loss or gain.

Sales Dollars

refers to the total revenue generated from selling goods or services before any deductions like returns or discounts are made.