Asked by Fatihah Masri on May 03, 2024
Verified
Because support department costs are directly related to production, they are applied to product costs as a part of direct labor.
Support Department Costs
Costs associated with the departments that do not directly engage in manufacturing but support those who do, such as IT, HR, and maintenance departments.
Direct Labor
Refers to the work done by employees who directly contribute to the production of goods or services, such as assembling a product or providing a service.
- Differentiate between the direct and indirect expenses linked to support departments.
Verified Answer
Learning Objectives
- Differentiate between the direct and indirect expenses linked to support departments.
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