How Would the Cost of Rent for a Manufacturing Plant

For a manufacturing company,which of the following is an example of a period cost rather than a product cost? A) Depreciation of factory equipment. B) Wages of salespersons. C) Wages of machine operators. D) Insurance on factory equipment.

Which of the following would be considered a product cost for external financial reporting purposes? A) Cost of a warehouse used to store finished goods. B) Cost of guided public tours through the company's facilities. C) Cost of travel necessary to sell the manufactured product. D) Cost of sand spread on the factory floor to absorb oil from manufacturing machines.