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JAMB Accounting 2021 Objective — Question 24

Question 24 of 40 from the Joint Admissions and Matriculation Board (JAMB) Accounting 2021 Objective paper, with the correct answer and a full explanation.

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24. Which of the following is an indirect cost? a. Manager's salary b. Packaging expenses c. Factory labours' wage d. Material cost

  • A. Manager's salaryCorrect
  • B. Packaging expenses
  • C. Factory labours' wage
  • D. Material cost

Explanation

An indirect cost is a cost that cannot be directly traced to a unit of output produced. A manager's salary cannot be traced to a specific unit, so it is an indirect cost.

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