Cost Accountancy Question:

What is Normal Cost?

Tweet Share WhatsApp

Answer:

Normal Cost are the normal or regular costs which are incurred in the normal conditions during the normal operations of the organization. They are the sum of actual direct materials cost, actual labour cost and other direct expense. Example: repairs, maintenance, salaries paid to employees.

Download Cost Accountancy PDF Read All 21 Cost Accountancy Questions
Previous QuestionNext Question
What is Sunk Cost?What is Abnormal Cost?