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Direct material are those material which are easily identified, conveniently measured and directly charged to the cost of production. It is also part of the finished product. Example of direct materials are Timber in cases of furniture making, Leather in case of shoe making, cotton in case of shirt making etc.
Indirect Material are those materials which cannot be conveniently identified & allocated to the cost centre or cost unit. It does also not form part of the finished product. Example of indirect material are bottom in case of shirt making, Thread in case of shirt making, pin & paste in case of furniture making etc.
Direct Material: one that is easily identified, conveniently measured and directly charged on cost of product.
Indirect Material: One that cannot be conveniently identified are classified as indirect material. These are generally charged againt cost center of production line.
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Mohsin
Direct material are those material whose costs can be identified easily while manfacturing. Ex. leather for shoes.Indirect materials in this case can be thread or glue.
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