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What manufacturing cost term is used to describe the cost of materials that are an integral part of the manufactured end product?

A) Direct labor cost
B) Variable manufacturing cost
C) Direct materials cost
D) Indirect manufacturing cost

User Smoothware
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1 Answer

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Final Answer:

The manufacturing cost term used to describe the cost of materials that are an integral part of the manufactured end product is C) Direct materials cost.

Step-by-step explanation:

Direct materials cost (Option C) refers to the expenses associated with the raw materials directly used in the production of a finished product. These materials are integral to the final product and can be easily traced to it. Direct labor cost (Option A) pertains to the wages and benefits of the workforce directly involved in the manufacturing process.

Variable manufacturing cost (Option B) includes costs that vary with the production level, such as direct materials and direct labor. Indirect manufacturing cost (Option D) involves overhead costs not directly linked to specific products, like utilities and factory rent.

Option C is the answer.

User Silent User
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