For a automobile manufacturer, period costs include the cost of:
A)the dashboard
B)labor used for assembly
C)advertising
D)assembly-line equipment

Question

Quizplus · Accepted Answer

Period costs are indirect costs that are not related to the production process but are incurred in a specific period. Advertising costs are an example of period costs. The other options - dashboard, labor, and assembly-line equipment - are all direct costs that are related to the production process and are included in the cost of goods sold.

For a Automobile Manufacturer, Period Costs Include the Cost Of