Which of the following are considered to be product costs under variable costing?
I.Variable manufacturing overhead.
II)Fixed manufacturing overhead.
III)Selling and administrative expenses.
A)I.
B)I and II.
C)I and III.
D)I,II,and III.

Question

Which of the following are considered to be product costs under variable costing? 
I.Variable manufacturing overhead.
II)Fixed manufacturing overhead.
III)Selling and administrative expenses.
A)I.
B)I and II.
C)I and III.
D)I,II,and III.

Quizplus · Accepted Answer

Under variable costing, only variable manufacturing costs, such as variable manufacturing overhead, are considered product costs. Fixed manufacturing overhead and selling and administrative expenses are treated as period costs.

Which of the Following Are Considered to Be Product Costs