Reference:
Tech Computer manufactures computers in its plant located in Toronto and then ships the computers directly to distributors and retailers. The company's accountant has enlisted you to classify the following company's expenses:
-Wages of factory supervisor.
A)Fixed period cost.
B)Variable period cost.
C)Variable product cost.
D)Fixed product cost.

Question

Quizplus · Accepted Answer

The wages of the factory supervisor are a fixed product cost, as they are incurred to produce a certain quantity of computers and do not vary with changes in the volume of production.

Reference: Tech Computer Manufactures Computers in Its Plant Located in Toronto