ECONOMICS

COST ACCOUNTING

INTRODUCTION TO COST ACCOUNTING

Question [CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
Warehousing cost is an item of
A
administrative overhead
B
distribution overhead
C
material cost
D
work overhead
Explanation: 

Detailed explanation-1: -The cost which is incurred to store the goods is called a warehousing cost. This may includes rent of ware house and insurance of warehouse. This cost is an item of distribution overheads.

Detailed explanation-2: -What Are Warehouse Costs? Warehouse costs vary based on the facility, amount of storage space and services you require. The most common costs are associated with handling (receipt and dispatch), storage space, operations administration and general administrative expenses.

Detailed explanation-3: -(ˈwɛəˌhaʊzɪŋ kɒsts ) plural noun. business. the costs involved in storing goods in a warehouse.

Detailed explanation-4: -Types of Warehousing Costs Fulfillment and warehousing costs vary from company to company, but common fees you’ll encounter are storage costs, handling costs (including special projects like kitting, and any pick and pack or parcel requirements), and general administrative expenses.

There is 1 question to complete.