The monthly cost of renting manufacturing equipment is part of prime cost and an inventoriable cost.

Here's why:

1. Prime Cost: This is the total cost of the direct materials and direct labor involved in manufacturing a product. The cost of renting manufacturing equipment is a direct cost because it is directly tied to the production of the product. Therefore, it is part of the prime cost.

2. Inventoriable Cost: These are costs that are initially recorded as inventory and do not become costs of goods sold until the inventory is sold. The cost of renting manufacturing equipment is an inventoriable cost because it is a cost tied to the production of the product, and thus is included in the value of the inventory until the product is sold.

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The monthly cost of renting manufacturing equipment is part of prime cost and an inventoriable cost.

Here's why:

1. Prime Cost: This is the total cost of the direct materials and direct labor involved in manufacturing a product. The cost of renting manufacturing equipment is a direct cost because it is directly tied to the production of the product. Therefore, it is part of the prime cost.

2. Inventoriable Cost: These are costs that are initially recorded as inventory and do not become costs of goods sold until the inventory is sold. The cost of renting manufacturing equipment is an inventoriable cost because it is a cost tied to the production of the product, and thus is included in the value of the inventory until the product is sold.

Knowee AI · Accepted Answer

The monthly cost of renting manufacturing equipment is part of prime cost and an inventoriable cost.

Here's why:

1. Prime Cost: This is the total cost of the direct materials and direct labor involved in manufacturing a product. The cost of renting manufacturing equipment is a direct cost because it is directly tied to the production of the product. Therefore, it is part of the prime cost.

2. Inventoriable Cost: These are costs that are initially recorded as inventory and do not become costs of goods sold until the inventory is sold. The cost of renting manufacturing equipment is an inventoriable cost because it is a cost tied to the production of the product, and thus is included in the value of the inventory until the product is sold.

The monthly cost of renting manufacturing equipment is: Group of answer choicespart of direct manufacturing costpart of conversion cost and an inventoriable cost.part of prime cost and an inventoriable cost.part of conversion cost and a period cost.part of prime cost and a period cost.

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