MC 13 What is the difference between direct labor and indirect labor?
A. Direct labor is fixed, while indirect labor is variable.
B. Direct labor is easily traceable to a specific product, while indirect labor is not.
C. Direct labor is indirect, while indirect labor is direct.
D. Direct labor is a period cost, while indirect labor is a product cost.
Answer:B
MC 13 What is the difference between direct labor and indirect labor?
A. Direct labor is fixed, while indirect labor is variable. B. Direct labor is easily traceable to a specific product, while indirect labor is not. C. Direct labor is indirect, while indirect labor is direct. D. Direct labor is a period cost, while indirect labor is a product cost.
Explanation: Direct labor is the cost of labor that is directly involved in the production of a specific product, while indirect labor is the cost of labor that is not directly involved in the production process, such as the salaries of administrative staff.