Which of the following is not a prime cost?
A) Supervisor's wages
B) Assembly line wages
C) Machine operators wages
D) Direct labor wages
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Prime costs consist of direct materials and direct labor. Direct materials include For example, direct materials include raw materials, supplies, supervisor wages (direct labour) and any other component that becomes part of the finished product.
So (c) Machine operator wages is not prime cost
So (c) Machine operator wages is not prime cost
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