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Answer is
Total manufacture cost minus direct material = A - direct labor & D – overhead
Because
Total manufacturing costs =
Direct materials + Costs of your direct labor + Manufacturing overhead
B - Conversion cost. Labour and overheads are used to convert the raw material into useful products. Hence they become Conversion costs in the total manufacturing cost.
Conversion cost is: the cost of changing materials into finished product, thus the correct answer is (B)
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