Indirect Cost

Why give reason ms shilpa

depriciation is an indirect cost

indirect cost. why becoz the company loosing some amout as 
depreciation indirectly.

Depreciation is Direct expenses in Factory account where it 
is calculated on factory plant and machinery while if plant 
and machinery used in office it is indirect expenses/
In calcualting the cost of asset direct expenses are those 
which include purchase price and installation cost and 
indirect expenses are those which during trial run they are 
trial run exp.

Depreciation is not a cost. It is allocation of whole cost 
of an asset over its  useful life.we charge the amount of 
Depreciation in the p/L account to accumulate amount for 
the future(i.e when the useful life of an asset is over)
replacement of asset.

depreciation is a not direct cost.because of those expenses 
are directly particiation (i.e direct rawmeterial,direct 
wages etc)in production.

depreciation is a indirect cost.those expenses are directly 
partispation in production (i.e direct rawmeterial,direct 
laboue etc)is called DIRECT COST.

those expenses are indirectly partispated in production is 
called INDIRECT COST. (i.e room rent,)

DIPRECIATION IS NOT DIRECTLY PARTISPATE IN PRODUCTION.SO

DEPRECIATION IS INDIRECT COST

Depreciation is an Indirect Cost, Because in Production 
they are not using it for production. it is just a 
decreasing value of Asset..