wiz-icon
MyQuestionIcon
MyQuestionIcon
1
You visited us 1 times! Enjoying our articles? Unlock Full Access!
Question

In manufacturing a product, prime cost will be ______________________.

A
Raw materials and manufacturing overhead
No worries! We‘ve got your back. Try BYJU‘S free classes today!
B
Indirect materials and manufacturing overhead
No worries! We‘ve got your back. Try BYJU‘S free classes today!
C
Indirect labour and manufacturing overhead
No worries! We‘ve got your back. Try BYJU‘S free classes today!
D
Direct materials, direct labour and direct expense
Right on! Give the BNAT exam to get a 100% scholarship for BYJUS courses
Open in App
Solution

The correct option is D Direct materials, direct labour and direct expense
Cost sheet is prepared to find out the cost of goods sold of the product.
There are various stages for which the unit cost is calculated. Prime cost denotes the cost of direct material , direct labor and direct expense.

flag
Suggest Corrections
thumbs-up
0
Join BYJU'S Learning Program
similar_icon
Related Videos
thumbnail
lock
Statement of Profit and Loss
ACCOUNTANCY
Watch in App
Join BYJU'S Learning Program
CrossIcon