Question 2 Explain why Indirect labor and distribution costs would most likely NOT or BE in the same activity cost pool. a) Give an argument for this statement and give a practical scenario. [5 Marks] Question 3 Draw a process flow to depict the relationship between finished goods, direct materials, work in progress, direct labour, cost of goods sold (Income Statement), factory overhead and Ending Inventory (Balance Sheet). [14 Marks]. Question 4 Costs are often classified in terms of how they relate to an object or segment of operations called a cost object. It may be a product, a department, or some activity. Describe the following: 1. Direct costs [2 Marks] 2. Indirect cost [2 Marks]