WAEC Financial Accounting 2009 Question 6

Question 6

Manufacturing Accounts

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

  1. A.Wages of operators
  2. B.Factory power
  3. C.Advertising
  4. D.Cost of raw materials
Show the answer and explanation

Answer: C (Advertising)

Explanation

Advertising is a selling and distribution expense; the others are incurred in the factory.