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You have been given a summer job as an intern at Utah Aircams, a company that manufactures sophisticated spy cameras for remote-controlled military reconnaissance aircraft. The company, which is privately owned, has approached a bank for a loan to help it finance its growth.The bank requires financial statements before approving such a loan. You have been asked to help prepare classification of the following list of costs:1. Depreciation on salespersons' cars2. Rent on equipment used in the factory3. Lubricants used for machine maintenance4. Salaries of personnel who work in the finished goods warehouse5. Soap and paper towels used by factory workers at the end of a shift6. Factory supervisors' salaries7. Heat, water, and power consumed in the factory8. Materials used for boxing products for shipment overseas (units are not normally boxed)9. Advertising costs10. Workers' compensation insurance for factory employees11. Depreciation on chairs and tables in the factory lunchroom12. The wages of the receptionist in the administrative offices13. Cost of leasing the corporate jet used by the company's executives14. The cost of renting rooms at a Florida resort for the annual sales conference15. The cost of packaging the company's product
Required: Classify the above costs as either product cost or period costs.
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