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production costs

This topic has 3 replies, 2 voices, and was last updated 2 months ago by John Moffat.

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April 6, 2022 at 10:35 am #652779
zainrajput
- Topics: 7
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are the following production costs?
1. cleaning products in factory to clean machine
2. wages of supervisor of service cost centre which support production cost centre
3. depreciation of vehicles use for delivering vehicles

i find all of them to be a part of indirect costs hence am confused does anyone of them are production costs?
April 6, 2022 at 3:12 pm #652791
John Moffat
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- Topics: 57
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The first two are indirect production costs.

The third one is not a production cost because delivery vehicles are nothing to do with the cost of producing the goods.

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April 6, 2022 at 3:47 pm #652800
zainrajput
- Topics: 7
- Replies: 4
thankyouu
April 7, 2022 at 10:31 am #652825
John Moffat
Keymaster
- Topics: 57
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You are welcome.
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