Question

The cost of computer hardware to be purchased for a new system is an example of a(n) ____ cost for that system.

A. direct cost
B. indirect cost
C. intangible cost
D. recurring cost

Answer 1

The cost of computer hardware to be purchased for a new system is an example of a direct cost for that system. Option a.

Step-by-step explanation:

The cost of computer hardware to be purchased for a new system is an example of a direct cost for that system. Option a.

Direct costs are expenses that can be specifically and easily attributed to a particular product or service. In this case, the cost of computer hardware is directly related to the new system being implemented.

Other examples of direct costs include raw materials, labor costs, and manufacturing equipment.