What an example of a period cost is

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Problem 1: The cost of fire insurance for a manufacturing plant is generally considered to be a:

A. product cost.

B. period cost.

C. variable cost.

D. all of these.

Problem 2: An example of a period cost is:

A. fire insurance on a factory building.

B. salary of a factory supervisor.

C. direct materials.

D. rent on a headquarters building.

Problem 3: Transportation costs incurred by a manufacturing company to ship its product to its customers would be classified as which of the following?

A. Product cost

B. Manufacturing overhead

C. Period cost

D. Administrative cost

Reference no: EM132787442

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