Find the direct or indirect cost fall for specific job

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Question: Sparky Ltd is a business that employs a number of electricians. The business undertakes a range of work for its customers, from replacing fuses to installing complete wiring systems in new houses. In respect of a particular job done by Sparky Ltd, into which category (direct or indirect) would each of the following costs fall?

- The wages of the electrician who did the job.

- Depreciation of the tools used by the electrician.

- The salary of Sparky Ltd's account.

- The cost of cable and other materials used on the job.

- Rent of the premises where Sparky Ltd stores its inventories of cable and other materials.

 

Reference no: EM131437953

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