Direct labor cost is classified as: Conversion cost Prime Cost A) Yes Yes B) No No C) No Yes D) Yes No Choice A Choice B Choice C Choice D

A) Yes Yes

Explanation:

The prime cost is the cost that includes both the direct material cost and the direct labor cost

In mathematically,

Prime cost = Direct material cost + Direct labor cost

While the conversion cost is the cost that includes the direct labor cost and the manufacturing overhead cost

In mathematically,

Conversion cost = Direct labor cost + Manufacturing overhead cost

its simple as this, microeconomics is the study of economics at an individual, group or company level, macroeconomics on the other hand, is the study of a national economy as a whole.

hope it =^-^=

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