Question

A schedule of cost of goods manufactured includes all of the following costs except.

a) Direct materials
b) Direct labor
c) Advertising expenses
d) Factory overhead

Answer 1

The schedule of cost of goods manufactured includes all costs except advertising expenses.

Step-by-step explanation:

The correct answer is c) Advertising expenses. A schedule of cost of goods manufactured is a financial statement that shows the total manufacturing costs incurred during a specific period. It includes direct materials, direct labor, and factory overhead costs. Advertising expenses, on the other hand, are not directly related to the production of goods and do not belong in the cost of goods manufactured.