Which of the following is an example of an inventoriable cost when manufacturing products?
A)Depreciation on office equipment
B)Depreciation on store building
C)Sales salaries expenses
D)Depreciation on factory equipment

Question

Quizplus · Accepted Answer

Depreciation on factory equipment is an inventoriable cost because it is directly related to the production of goods. Office equipment, store building, and sales salaries expenses are not directly related to the manufacturing process and would be classified as period costs.

Which of the Following Is an Example of an Inventoriable