1. Which of the following costs are conversion costs?

direct materials cost and factory overhead cost

direct labor cost and factory overhead cost

direct materials cost and direct labor cost

factory overhead cost

2.

Which of the following is not a factory overhead cost?

materials used directly in the manufacturing process of the product

property tax on factory building

insurance on factory equipment

salaries of production supervisor

3.

Which of the following is not true in regards to direct materials for a bakery?

Paper cupcake liners, that become part of the product, must be accounted for as direct materials.

Oil to lubricate factory machines would not be a direct material.

Flour and sugar would probably be direct materials.

Eggs would probably be a direct material.