The salary of the president of a manufacturing company would be classified as which of the following?

Question

Quizplus · Accepted Answer

The salary of the president of a manufacturing company would typically be classified as a period cost. This is because it is not directly related to the production of a specific product, but rather to the overall management and administration of the company. Product costs are those costs that are directly related to the production of a specific product, such as direct labour and manufacturing overhead. Manufacturing overhead includes indirect costs such as factory rent and utilities. Direct labour refers to the wages and benefits paid to employees who are directly involved in the production process.

The Salary of the President of a Manufacturing Company Would