WAEC Financial Accounting 2008 Question 30

Question 30

Manufacturing Accounts

Which of the following is not part of cost of production?

  1. A.Direct material cost
  2. B.Direct wages
  3. C.Factory overheads
  4. D.Administrative overheads.
Show the answer and explanation

Answer: D (Administrative overheads.)

Explanation

Administration costs go to profit and loss.