SUGGESTED ANSWERS TO QUESTIONS

(iii) When a direct worker is paid on a monthly fixed salary basis, the following is true: (A) There is no idle time lost. (B) There is no idle time cost. (C) Idle time cost is separated and treated as overhead. (D) The salary is fully treated as factory overhead cost. (iv) The following is an example of direct expenses as per CAS-10: ................
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