Answer. Correct option for "C"
That is Resources are shared by more than one product or service.
Explanation;
In case of Indirect costs the cost that is incurred by department are not directly related to particular product or service they are incurred in total and are to be allocated to the products or services on the basis of cost drivers.
Examples are,
Rent to factory,
Administration expenses
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Indirect costs occur when a. controllable costs are incurred by cost objectives. b. labor costs are...
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