Cobalt Company Management Has Identified the Following Cost Objects:
Cost

Cobalt Company management has identified the following cost objects:
Cost Object 1: The cost of operating the finishing department
Cost Object 2: The cost of operating the factory
Cost Object 3: The cost of a particular product made in June
With respect to these cost objectives, how would rent paid by the finishing department for storage space be classified? $\begin{array}{lll}&\text { Object } 1&\text { Object } 2&\text { Object } 3\\ A.&\text { Direct } & \text { Direct } & \text { Direct } \\B.&\text { Direct } & \text { Direct } & \text { Indirect } \\C.&\text { Indirect } & \text { Indirect } & \text { Indirect } \\D. &\text { Indirect } & \text { Indirect } & \text { Direct }\end{array}$

A) Option A
B) Option B
C) Option C
D) Option D

Correct Answer:

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