What is the difference between prime cost and direct cost?

1 answer

Answer

1092695

2026-07-15 07:45

+ Follow

Prime cost is a way of measuring the total cost of the production inputs needed to create a given output. Likewise direct costs are directly linked to production but are more specific. For example, a direct cost would be direct labour, direct materials or direct expenses. Where as, prime cost is the total of all of those direct costs forming one prime cost.

ReportLike(0ShareFavorite

Copyright © 2026 eLLeNow.com All Rights Reserved.