Question

Consumables are treated as
overheads in cost sheet.
A Factory
B Office
C Selling and Distribution​

Answer 1

They are treated as factory overheads in cost sheet.

• The costs arising during the manufacturing process, excluding direct labour and materials, are referred to as factory overheads.
• Normally, factory overheads are divided into expense pools and assigned to the units generated during the time span.
• Thus, in a cost sheet, generally the consumables are treated as factory overheads. Some other costs include the indirect material costs, depreciation,  machine repairs etc.