=+PR 18-1A Classifying costs obj. 2

(continued)

846 Chapter 18 Managerial Accounting Concepts and Principles Use the following tabular headings for your answer, placing an “X” in the appropriate column.

Product Costs Period Costs Direct Direct Factory Materials Labor Overhead Selling Administrative Cost Cost Cost Cost Expense Expense The following is a list of costs incurred by several businesses:

a. Costs for television advertisement.

b. Disk drives for a microcomputer manufacturer.

c. Executive bonus for vice president of marketing.

d. Packing supplies for products sold.

e. Protective glasses for factory machine operators.

f. Cost of telephone operators for a toll-free hotline to help customers operate products.