Which of the following is NOT considered an overhead cost for doing business?

The correct choice identifies materials as not being classified as an overhead cost. Overhead costs are ongoing expenses that are not directly tied to producing a specific product or service. These costs are necessary for the business to operate but are not directly attributable to the creation of goods or services.

Materials, on the other hand, are directly related to production or service delivery. They refer to the physical items that are consumed or transformed during the creation of a product. Since materials—such as wiring, conduits, and fixtures in electrical work—are directly linked to production processes, they are classified as variable costs rather than overhead.

In contrast, office equipment represents a fixed cost associated with administrative functions and is considered an overhead expense. Labor can also be considered overhead, particularly when discussing indirect labor costs such as supervisors or administrative personnel who support the operation but do not directly contribute to the production. Obtaining jobs can involve marketing and sales expenses, which are also categorized under overhead as they support business operations without being directly tied to specific products or services produced.