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      Question

      Commission given on each unit of sales will fall under

      which of the following cost?
      A Office & Administration Cost Correct Answer Incorrect Answer
      B Selling Cost Correct Answer Incorrect Answer
      C Factory Cost Correct Answer Incorrect Answer
      D Manufacturing Cost Correct Answer Incorrect Answer
      E Works Cost Correct Answer Incorrect Answer

      Solution

      Commission given on each unit of sales is an example of selling costs. Selling expenses are a type of operating expense and would not be factored into cost of goods sold or gross profit

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