1. Direct materials 11.Direct labour 111.Direct expenses 1V. Factory expensesPrime cost consist of

1. Direct materials

11.Direct labour

111.Direct expenses

1V. Factory expensesPrime cost consist of

Answer Details

Prime cost refers to the direct costs involved in producing a product or delivering a service. It includes the costs of the raw materials, direct labor, and direct expenses necessary to create the product. In this case, the prime cost would consist of: - Direct materials (1) - Direct labor (11) - Direct expenses (111) Therefore, the prime cost would consist of items 1, 11, and 111. Factory expenses (1V) are indirect expenses, not included in the prime cost.