Answer:
Delivery charges on shipments to customers.
Step-by-step explanation:
The direct materials cost include the costs of acquiring, managing, storing and preparing the materials used during the production process. Therefore, incoming freight charges, materials handling costs, invoice costs of direct materials and materials storage costs could all be included. On the other hand, delivery charges on shipments to customers are costs related to the finished product and not to the materials and should not be included in direct materials cost.
The answer is Delivery charges on shipments to customers.