Question

Cost of occupancy, general management and salesforce management are considered ______________.

a) full costs
b) indirect costs
c) contribution accounting
d) All of the above
e) None of the above

Answer 1

B) indirect costs

Step-by-step explanation:

Indirect costs can be regarded as costs incurred whereby this cost are not directly assigned to a cost object specifically. Indirect costs can comes as a fixed cost, it can also come as variable cost. Some of Indirect costs are; personnel as well as

administration and security costs. They are costs that are not regarded as been directly related to production.

It should be noted that Cost of occupancy, general management and salesforce management are considered indirect costs.