03-13-2007, 04:35 PM
Yes,it is included in cost of goods sold in
case of manufacturing company.
i.e
Raw material xxx
Direct Labour xxx
=====
Prime Cost xxxxx
=====
Prime cost is added in OHs to calculate
total cost of manufacturing companies.
case of manufacturing company.
i.e
Raw material xxx
Direct Labour xxx
=====
Prime Cost xxxxx
=====
Prime cost is added in OHs to calculate
total cost of manufacturing companies.