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A-LevelAccountingPreparation of financial statements9706/12 · Oct/Nov 2012 · Q111 Mark

What is prime cost?

Athe total cost of manufacturing
Bthe total cost of manufacturing and selling
Cthe total of direct costs
Dthe total of indirect costs

✓ Correct answer

C: the total of direct costs

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About this question

Topic
Preparation of financial statements, A-Level Accounting (syllabus 9706). Multiple choice, 1 mark.
Source
A-Level Accounting, Oct/Nov 2012 Paper 1 Variant 2, question 11.

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