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Hi dear JOHN Sir, HOPES you r fine. I’m back after a lot of time due to some personal issues. John sir plz guide me about the following;
Q.1. How should we classify a ‘ Telephone expense of showroom’ . Is it a selling cost or administration cost?
Q.2. when we buy material from market, normally we pay some expenses to bring that material in our factory. for example, freight, import duty, wages . How should we treat with these expense ( freight, import duty, wages )? My question is that these are direct expenses or not? ( By direct expense i mean to say that these are traceable to a cost unit). i am confused about this. plz guide
Q.3. Rent of storeroom which is used to store the raw material. Is it a production cost or not?
Waiting for your kind reply sir
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