A product cost is:
A)an expense allocated by a systematic procedure.
B)recognized during the period in which a liability is incurred.
C)recognized in the period during which related revenue is recognized.
D)recognized in the period in which cash is spent.

Question

Quizplus · Accepted Answer

Product cost is recognized in the period during which related revenue is recognized. This is part of the matching principle in accounting where expenses are recognized in the same period as the revenue they help generate.

A Product Cost Is