Asked by Michelle Martin on May 08, 2024
Verified
Facility-level costs are not traceable to individual product lines,batches or units.
Facility-level Costs
Expenses that are not directly tied to a specific product or service but are necessary for the overall operation of a facility.
- Learn to identify the distinctions between various classifications of costs: direct, indirect, product-level, batch-level, unit-level, and facility-level.
Verified Answer
AR
Arlette RamirezMay 09, 2024
Final Answer :
True
Explanation :
Facility-level costs are indirect costs that cannot be traced to specific product lines, batches or units. Examples of facility-level costs include rent, utilities, and maintenance expenses for the overall facility.
Learning Objectives
- Learn to identify the distinctions between various classifications of costs: direct, indirect, product-level, batch-level, unit-level, and facility-level.