Which of the following is not an example of a period expense?
A)the president's salary
B)insurance for the home office
C)accounting and information systems costs
D)support activity costs such as legal services, employee training, and corporate planning.
E)the factory foreman's salary

Question

Quizplus · Accepted Answer

The factory foreman's salary is a product cost, not a period expense, as it is directly related to the manufacturing process. Period expenses, on the other hand, are expenses that are not related to the production process and are incurred during a specific period of time, such as accounting and information systems costs, support activity costs, and insurance for the home office. The president's salary could also be considered a period expense if it is not directly related to production.

Which of the Following Is Not an Example of a Period