Period costs are generally also known as
A)factory overhead.
B)prime costs.
C)annual expenses.
D)operating expenses.

Question

Quizplus · Accepted Answer

Period costs are the expenses incurred in the primary business activities of a company but are not directly related to the production of goods/services. These costs include selling, general, and administrative expenses, such as rent, salaries, utilities, and marketing expenses. Therefore, the best choice is D, operating expenses.

Period Costs Are Generally Also Known as