Question

Arrange the following cost concepts in the correct order in which they appear in the Cost Sheet. (A) Works Cost
(B) Cost of Sales
(C) Prime Cost
(D) Cost of Production

• A. (A), (C), (B), (D)
• B. (C), (A), (B), (D)
• C. (A), (C), (D), (B)
• D. (C), (A), (D), (B)

Hint:

Understanding cost flow is essential for preparing an accurate cost sheet.

Answer 1

The Correct Option is D

Cost Sheet sequence: Prime Cost → Works Cost → Cost of Production → Cost of Sales.