Which of the following is a period cost?
A) Power
B) Depreciation on factory equipment
C) Sales commissions
D) Wages of an assembly worker

Question

Quizplus · Accepted Answer

Sales commissions are a type of period cost, which are expenses that are not directly related to the manufacturing or production process, but rather are incurred during a specific period of time. Power, depreciation on factory equipment, and wages of an assembly worker are all examples of product costs, as they are related to the manufacturing process itself.

Which of the Following Is a Period Cost