Which of the following statements is true about period costs?

Question

Quizplus · Accepted Answer

Period costs are expenses that are not directly related to the production of goods or services. These costs, such as rent, salaries, and advertising expenses, are usually expensed in the period in which they are incurred instead of being capitalized like product costs. This is because they are expensed in the period they are incurred in accordance with the matching principle, which requires that expenses be matched with the revenues they help generate.

Which of the Following Statements Is True About Period Costs