Is this a (1) product or (2) period cost?For your responses, do not type words, but rather
Question:
Is this a (1) product or (2) period cost?For your responses, do not type words, but rather type either 1 or 2, whichever you choose, as your answer. If you answered 1 for product cost in your previous answer, indicate whether it is (3) direct materials, (4) direct labor, or (5) factory overhead. If you answered period costs in your previous answer, indicate (6) for not applicable for this question. For your responses, do not type words, but rather type either 3, 4, 5, or 6, whichever you choose, as your answer.
Cost item:
Company President's salary
Sanding machine operator wages
Wood
Depreciation of factory equipment
Factory maintenance worker salaries
Advertising expense
Depreciation of salesperson's cars
Nails used in tables (negligible quantity and dollar amount)
Property taxes on the factory (plant)
Property taxes on warehouse used to store tables after manufacturing is completed
Accountants' salaries
Factory (plant) utilities
Fundamentals of Investment Management
ISBN: 978-0078034626
10th edition
Authors: Geoffrey Hirt, Stanley Block