In a merchandising company,________.
A)selling and administrative costs are period costs
B)insurance expense on the corporate building is a product cost
C)work in process inventory may be present
D)finished goods inventory may be present

Question

Quizplus · Accepted Answer

Selling and administrative costs are considered period costs because they are not directly tied to the production process and are expensed in the period they are incurred.

In a Merchandising Company,________