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Laundry Expense Direct or Indirect cost

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Durvesh Naik

Student CA

27 Points Posted on 26 March 2021

Dear All,
Our company is Pharma company who does manufacturing of medicine. My question is whether Laundry Expense of Lab coat and boiler suits should be treated as direct or Indirect expense.

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Quick Summary

This discussion explores whether laundry expenses for lab coats and boiler suits in a pharmaceutical manufacturing company should be classified as a direct or indirect cost. The consensus leans towards classifying it as an indirect expense, as it's not directly tied to the core operating business of medicine production.