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Multiple Choice Questions

Direct cost incurred can be identified with ........

Costing ( Revenue Account ) Lean System and Innovation

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Direct cost incurred can be identified with ________.

each department

each unit of output

each month

each executive

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Explanation:

Direct cost incurred can be identified with each unit of output. Direct costs (such as for labor, material, fuel or power) vary with the rate of output but are uniform for each unit of production, and are usually under the control and responsibility of the department manager.

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