Glue, stain and nails used in a furniture factory are treated instead as indirect:
AMarkets
BMargins
CMaterials
DManagers
Answer & Solution
Correct answer: C. Materials
1. One chair may take fifteen nails and another eighteen.
2. Tracking each nail costs more than the information is worth.
3. So they are classed as indirect materials.
_Source: OpenStax Principles of Managerial Accounting, Chapter 4, Job Order Costing._
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