Chant Corporation recently computed total product costs of $647,000 and total period costs of $549,000. On the basis of this information, Chant's income statement should reveal operating expenses of:
A)$98,000.
B)$488,000.
C)$549,000.
D)$647,000.
E)$1,196,000.

Question

Quizplus · Accepted Answer

Period costs are considered operating expenses on the income statement, so Chant's income statement should reveal operating expenses of $549,000.

Chant Corporation Recently Computed Total Product Costs of $647,000 and Total