Advertisements
Advertisements
Question
Overhead refers to ______.
Options
Direct or prime cost
All indirect costs
Only factory indirect costs
Only indirect expenses
Solution
Overhead refers to all indirect costs.
Explanation:
Overhead refers to any indirect expenditures associated with operating a firm that cannot be clearly linked to a specific product or service. This includes indirect supplies, indirect labour, and indirect expenses, including rent, utilities, and administrative fees.
APPEARS IN
RELATED QUESTIONS
Write short note on indirect labour cost.
Costs incurred other than on material and labour for production and distribution are called ______.
Explain various types of Overheads.
Name and give examples of any two types of Overheads.
Which of the following is overhead cost?
What consist of indirect material, indirect labour, and indirect expenses?
Which of the following is best suited meaning of overhead?
What are indirect expenses?
Give an example of indirect expenses.
What do you mean by office and administrative overhead?