Marshall Corporation incurred costs for materials and labor needed to manufacture its products.These costs are examples of:
A)Period costs.
B)Product costs.
C)General costs.
D)Balance sheet costs.
E)Capitalized costs.

Question

Quizplus · Accepted Answer

Costs incurred for materials and labor involved in manufacturing products are classified as product costs. These costs are directly tied to the production of goods and are part of the cost of goods sold.

Marshall Corporation Incurred Costs for Materials and Labor Needed to Manufacture