kindly refer to the photo below

costs. 10. For a company engaged' 1n the constructions of building, the Insurance premium paid for the group insurance taken for the laborers IS considered as direct costs. - 11. Product costs for a trading company include the costs of merchandise purchased and the freight costs to bring the goods to the place of the buyer. 12. The employer's share in SSS, Philhealth and Pag-ibig is considered an additional benet to the factory workers, thus, this is treated as part of direct labor. 13. Factory overhead is an element of both prime cost and conversion cost. 14. The xed cost per unit increases as business activity increases. - 15. Variable cost is constant it .exPressed on a per unit 1. A cost that is useful for one decision may not be useful information for another decision 2. The opportunity costs are the additional costs incurred when the best alternative is chosen. 3. Product costs are expensed on the income statement when the raw materials are issued to production. 4. Manufacturing cost includes costs of raw materials used and wages paid to factory workers but does not include costs of wages paid to factory personnel who are not directly involved in the conversion of raw materials into finished product. 5. Advertising cost is an example of a period costs expensed in the period incurred. 6. A manufacturing plant produces two product lines: Canned meat products and bottled drinks. Direct costs for the two product lines include the compensation and benets paid to the supervisors. 7. An example of indirect costs to an educational institution is the costs of continuing professional development program for its faculty members. 8. The salary of the company driver who delivers finished goods to distributors is treated as factory overhead. 9. In a ready to wear manufacturing company, the costs of threads, buttons and zippers are treated as direct