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qwelly [4]
3 years ago
14

Oreva, a multinational corporation, pays $100,000 per year to an information technology firm to archive and secure all of its da

ta into the information technology firm's cloud platform. In this scenario, the cost incurred by Oreva is an example of _____
A) storage cost
B) processing cost
C) acquisition cost
D) retrieval cost
Business
1 answer:
Arlecino [84]3 years ago
4 0

Answer:

A) storage cost

Explanation:

Storage cost -

It is the amount spend on the maintenance of the storage or holding of the inventory .

From the question ,

The multinational company , Oreva , pays $100,00 per year to the It firm , i.e. , the information technology firm , so as to maintain and secure all of its data and storage .

hence , from the question ,

The correct term according to the information of the question is  A) storage cost .

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Answer:

                                    $

Material used            2,500                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            

Direct labour             5,000

Overhead applied    200

Cost of goods sold   7,700                                                                                    

Explanation:

The overhead applied is the difference between cost of goods sold and cost of material used and direct labour. The cost of goods sold is $7,700 while the cost of material and labour is $7,500. The difference of $200       represents the overhead applied.                                                                                                                                                                                                                                                

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