Which of the following is a period cost?
A) Factory rent
B) Factory depreciation
C) Office depreciation
D) Factory insurance

Name: Which of the following is a period cost? A) Factory rent B) Factory depreciation C) Office depreciation D) Factory insurance
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Question

Quizplus · Accepted Answer

Period costs are expenses that are not directly tied to the production process and are expensed in the period incurred. Office depreciation is a period cost as it relates to administrative functions rather than manufacturing.

Which of the Following Is a Period Cost