Question

Manufacturing costs are calculated by adding…………….

A.
Adding Direct costs of materials, direct labour costs and indirect costs.

B.
Multiplying costs per hour and with hours worked.

C.
Adding Direct labour costs, direct material costs and manufacturing overheads.

D.
Administrative overheads and marketing overheads.

Answer 1

Manufacturing costs are calculated by adding:

**C. Adding Direct labour costs, direct material costs and manufacturing overheads.**

This option accurately reflects the typical components included in the calculation of manufacturing costs.