Accountancy, asked by sp0126822, 6 months ago


The total of all the direct
cost is know as prime cost

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Answered by Anonymous
2

Answer:

A prime cost is the total direct costs of production, including raw materials and labor. Indirect costs, such as utilities, manager salaries, and delivery costs, are not included in prime costs. Businesses need to calculate the prime cost of each product manufactured to ensure they are generating a profit

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