Cost Item  Product or Period Cost? Direct or Indirect Cost? Fixed or Variable Cost? 1 Depreciation on salespersons' cars       2 Rent on equipment used in the factory       3 Lubricants used for machine maintenance        4 Salaries of personnel who work in the finished goods warehouse       5 Soap and paper towels used by factory workers at the end of a shift        6 Factory supervisors' salaries        7 Heat, Water and power consumed in the factory       8 Materials used for boxing products for shipment overseas

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Cost Item 

Product or Period Cost?

Direct or Indirect Cost?

Fixed or Variable Cost?

1

Depreciation on salespersons' cars

 

 

 

2

Rent on equipment used in the factory

 

 

 

3

Lubricants used for machine maintenance 

 

 

 

4

Salaries of personnel who work in the finished goods warehouse

 

 

 

5

Soap and paper towels used by factory workers at the end of a shift 

 

 

 

6

Factory supervisors' salaries 

 

 

 

7

Heat, Water and power consumed in the factory

 

 

 

8

Materials used for boxing products for shipment overseas

 

 

 

9

Advertising costs 

 

 

 

10

Workers' compensation insurance for factory employees 

 

 

 

 

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