Lester's has $23,600 in sales,$13,200 in cost of goods sold,$2,300 in depreciation,$900 in interest expense,and $6,200 in selling,general,and administrative expenses.The firm owes no taxes for this year.What is the amount of the period costs that are included in the operating cash flow?

Question

Quizplus · Accepted Answer

Period costs = Selling,general,and administrative expenses = $6,200Cost of goods sold is a product cost,depreciation is a non-cash expense,and interest expense is a cash flow to creditors.

Lester's Has $23,600 in Sales,$13,200 in Cost of Goods Sold,$2,300