Business FinancesQuestion 311 of 1605
Which of the following would be classified as a DIRECT cost on a specific project's job cost report?
a.The bookkeeper's salary at the main office
b.Electricity for the company's headquarters
c.Advertising for the contracting business
d.Wages of carpenters working on that project
Explanation
Direct costs are traceable to a specific project, such as the wages of workers on that job, its materials, and its subcontractors. Office salaries, headquarters utilities, and advertising are overhead (indirect).
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