Question

Which of these is not an accounting cost?
A.wages paid to labour hired in business
B. payment for raw materials
C.rent pald to owner for using her building in business
D.Interest paid to bank for loan taken​

Answer 1

Option d is the correct answer.

Interest paid to bank for loan taken is not an accounting cost.

Accounting cost means to record or summarize a cost of any business. It includes the costs that are incurred to procure working capital for the business. Thus

• wages paid to labour hired in business
• payment for raw materials
• rent pald to owner for using her building in business

are accounting costs.