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luda_lava [24]
4 years ago
13

Conversion costs are a.direct materials and factory overhead b.direct materials and indirect labor c.direct materials and direct

labor d.factory overhead and direct labor
Business
1 answer:
Digiron [165]4 years ago
4 0

Answer:

d.factory overhead and direct labor

Explanation:

The conversion cost is a mix of the direct labor and the factory overhead or the manufacturing overhead

In mathematically,

Conversion cost = Direct labor + factory overhead

It is that cost which includes direct labor cost and manufacturing overhead cost only. It means that it excludes the direct material cost. Like - depreciation, factory rent, factory supplies, etc

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