An example of a period cost is
A)president's salary.
B)insurance on factory equipment.
C)property taxes on factory building.
D)wages of factory custodians.

Question

Quizplus · Accepted Answer

Period costs are expenses that are not directly tied to the production process and are expensed in the period in which they occur. The president's salary is an example of a period cost because it is not directly associated with the manufacturing of products and is expensed in the period it is incurred.

An Example of a Period Cost Is