Asked by Gregory Bracco on Jun 27, 2024

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Which of the following is an indirect cost of manufacturing scooters?

A) Scooter assembly wages.
B) Wheels.
C) Supervisor salary.
D) Brakes
E) Assembly worker employee benefits.

Indirect Cost

A type of expense not directly attributable to a specific cost object, such as a product or project, and often includes administrative expenses, utilities, and security costs.

Supervisor Salary

The compensation, including wages and benefits, given to an individual who oversees and directs the work of others.

Scooter Assembly

The process of putting together the various components of a scooter to make it ready for sale or use.

  • Identify indirect costs in manufacturing processes and understand their implications.
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JF
James FlemingJun 29, 2024
Final Answer :
C
Explanation :
Supervisor salary is considered an indirect cost because it is not directly attributable to the production of a specific scooter but is necessary for the overall manufacturing process.