Classify the following costs incurred in the manufacturing of cookie bars
-Salary of Company Controller
A) Product Cost-Direct Materials
B) Product Cost-Conversion
C) Period Cost

Question

Quizplus · Accepted Answer

The salary of a company controller is a period cost because it is an administrative expense, not directly tied to the production process. Period costs are expensed in the period they are incurred, rather than being capitalized into the cost of goods sold.

Classify the Following Costs Incurred in the Manufacturing of Cookie