Which of the following is not a period cost?
A)Depreciation on factory equipment
B)Depreciation on the retail store building
C)Salesperson salaries
D)Office supplies used

Question

Quizplus · Accepted Answer

Period costs are expenses that are not directly related to the production or acquisition of goods. Depreciation on factory equipment is a manufacturing cost because it is directly related to the production process. Depreciation on the retail store building, salesperson salaries, and office supplies used are all examples of period costs.

Which of the Following Is Not a Period Cost