Inventoriable costs are also referred to as
A)product costs.
B)administrative costs.
C)period costs.
D)recorded costs.

Question

Quizplus · Accepted Answer

Inventoriable costs are costs associated with producing or purchasing goods that are held in inventory and not yet sold. These costs are also known as product costs because they are directly tied to the production or purchase of goods for sale. Administrative costs (B) refer to costs associated with running a business and are not typically included in inventoriable costs. Period costs (C) are costs that are expensed as they are incurred and do not relate to the production or purchase of goods. Recorded costs (D) is a vague term and does not accurately describe inventoriable costs.

Inventoriable Costs Are Also Referred to as