The classification of costs refers to a complete and transparent idea of separation of expenses Based on the above figure: into different categories such as manufacturing cost, non-manufacturing cost, product cost, sunk cost, controllable cost and indirect cost etc. It is said that the classifications of cost are a a) EXPLAIN the classification of costs and provide TWO (2) examples of business vital part of a company and it is almost impossible to operate a business without understanding transaction for each category. it properly. The following figure is one of the example of how company classify their costs: b) DESCRIBE opportunity cost and provide ONE (1) example of such cost. (20 marks) RM Unit