Product costs that have become expenses can be found in:


9. Product costs that have become expenses can be found in: a. Period costs. b. Selling expenses. c. Cost of goods sold. d. A

Answer

OPTION - C. Cost of goods sold.

Product cost are those cost which are incurred in the process of production of a finished goods such as raw material, direct Labor and Overhead. And these are observed when the goods are sold.

Period cost are those cost which are incurred for a specific period.

Selling Expenses are those expenses which are incurred for a product to sales. Eg - Advertising Expenses, sales personnel Expenses.

Administrative expenses are those Expenses which are incurred in management of a product. Eg - Salaries, etc

If you have any doubts please comment on the answer.

Hottest videos

Leave a Reply

Your email address will not be published. Required fields are marked *

Related Posts