Solved

Stony Electronics Corporation Manufactures a Portable Radio Designed for Mounting

Question 88

Essay

Stony Electronics Corporation manufactures a portable radio designed for mounting on the wall of the bathroom.The following list represents some of the different types of costs incurred in the manufacture of these radios:
1)The plant manager's salary.
2)The cost of heating the plant.
3)The cost of heating executive offices.
4)The cost of printed circuit boards used in the radios.
5)Salaries and commissions of company salespersons.
6)Depreciation on office equipment used in the executive offices.
7)Depreciation on production equipment used in the plant.
8)Wages of janitorial personnel who clean the plant.
9)The cost of insurance on the plant building.
10)The cost of electricity to light the plant.
11)The cost of electricity to power plant equipment.
12)The cost of maintaining and repairing equipment in the plant.
13)The cost of printing promotional materials for trade shows.
14)The cost of solder used in assembling the radios.
15)The cost of telephone service for the executive offices.
Required:
Classify each of the items above as product (inventoriable)cost or period (noninventoriable)costs for the purpose of preparing external financial statements.

Correct Answer:

verifed

Verified

1)Product.
2)Product.
3)Period...

View Answer

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Unlock this Answer For Free Now!

View this answer and more for free by performing one of the following actions

qr-code

Scan the QR code to install the App and get 2 free unlocks

upload documents

Unlock quizzes for free by uploading documents