Product costs are the cost of Direct Material, Direct Labour and Manufacturing Overheads used in making the product. Period costs are usually associated with the selling function of the business or its general administration. Period costs are reported in the accounting period in which they best match with revenues, when they expire or in the current accounting period. Interest expenses are also in the nature of period expense. To state: Whether the costs are either Product or Period cost

Question

Want to see the full answer?

Answer 1

Question

Chapter 18, Problem 2BPSB

Requirement 1.

To determine

Introduction:

Product costs are the cost of Direct Material, Direct Labour and Manufacturing Overheads used in making the product.

Period costs are usually associated with the selling function of the business or its general administration. Period costs are reported in the accounting period in which they best match with revenues, when they expire or in the current accounting period. Interest expenses are also in the nature of period expense.

To state:

Whether the costs are either Product or Period cost

Requirement 2.

To determine

Introduction:

Direct Material is the cost which can be easily traceable to a product. It is an integral part of the finished product and often referred to as Raw material.

Direct Labor can be physically and conveniently traced to a unit of finished product. This is the cost of people who make the product.

Factory Overheads include all other indirect cost required to make a product. Usually, manufacturing Overheads cannot be easily traced to individual units of finished product.

To state:

Whether the product costs are Direct Material, Direct Labor or Factory Overheads

Requirement 3.

To determine

Introduction:

Selling expenses are those which are associated with selling the product. It includes the cost of sales personnel, sales commissions, marketing, advertising and distribution of product.

General and administrative expenses relate to the costs of general operations of the company. It includes cost of executive salaries and offices, human resource department, research and development of new product and cost of maintaining the company.

To state:

Whether the period costs are selling or general or administrative expenses

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Students have asked these similar questions

Felix Manufacturing, a producer of electronic components, purchases semiconductor materials on credit on March 5. It processes these materials to make circuit boards on March 12 and pays cash for the semiconductor materials on March 20. On April 8, it sells the circuit boards to an electronics retailer, and on April 25, it receives a cash payment for this sale. What is the length of the cash cycle in this case?

I want to this question answer for General accounting question not need ai solution

Can you explain the correct methodology to solve this general accounting problem?

Answer 2

Question

Chapter 18, Problem 2BPSB

Requirement 1.

To determine

Introduction:

Product costs are the cost of Direct Material, Direct Labour and Manufacturing Overheads used in making the product.

Period costs are usually associated with the selling function of the business or its general administration. Period costs are reported in the accounting period in which they best match with revenues, when they expire or in the current accounting period. Interest expenses are also in the nature of period expense.

To state:

Whether the costs are either Product or Period cost

Requirement 2.

To determine

Introduction:

Direct Material is the cost which can be easily traceable to a product. It is an integral part of the finished product and often referred to as Raw material.

Direct Labor can be physically and conveniently traced to a unit of finished product. This is the cost of people who make the product.

Factory Overheads include all other indirect cost required to make a product. Usually, manufacturing Overheads cannot be easily traced to individual units of finished product.

To state:

Whether the product costs are Direct Material, Direct Labor or Factory Overheads

Requirement 3.

To determine

Introduction:

Selling expenses are those which are associated with selling the product. It includes the cost of sales personnel, sales commissions, marketing, advertising and distribution of product.

General and administrative expenses relate to the costs of general operations of the company. It includes cost of executive salaries and offices, human resource department, research and development of new product and cost of maintaining the company.

To state:

Whether the period costs are selling or general or administrative expenses

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 3

Question

Chapter 18, Problem 2BPSB

Requirement 1.

To determine

Introduction:

Product costs are the cost of Direct Material, Direct Labour and Manufacturing Overheads used in making the product.

Period costs are usually associated with the selling function of the business or its general administration. Period costs are reported in the accounting period in which they best match with revenues, when they expire or in the current accounting period. Interest expenses are also in the nature of period expense.

To state:

Whether the costs are either Product or Period cost

Requirement 2.

To determine

Introduction:

Direct Material is the cost which can be easily traceable to a product. It is an integral part of the finished product and often referred to as Raw material.

Direct Labor can be physically and conveniently traced to a unit of finished product. This is the cost of people who make the product.

Factory Overheads include all other indirect cost required to make a product. Usually, manufacturing Overheads cannot be easily traced to individual units of finished product.

To state:

Whether the product costs are Direct Material, Direct Labor or Factory Overheads

Requirement 3.

To determine

Introduction:

Selling expenses are those which are associated with selling the product. It includes the cost of sales personnel, sales commissions, marketing, advertising and distribution of product.

General and administrative expenses relate to the costs of general operations of the company. It includes cost of executive salaries and offices, human resource department, research and development of new product and cost of maintaining the company.

To state:

Whether the period costs are selling or general or administrative expenses

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 4

Question

Chapter 18, Problem 2BPSB

Requirement 1.

To determine

Introduction:

Product costs are the cost of Direct Material, Direct Labour and Manufacturing Overheads used in making the product.

Period costs are usually associated with the selling function of the business or its general administration. Period costs are reported in the accounting period in which they best match with revenues, when they expire or in the current accounting period. Interest expenses are also in the nature of period expense.

To state:

Whether the costs are either Product or Period cost

Requirement 2.

To determine

Introduction:

Direct Material is the cost which can be easily traceable to a product. It is an integral part of the finished product and often referred to as Raw material.

Direct Labor can be physically and conveniently traced to a unit of finished product. This is the cost of people who make the product.

Factory Overheads include all other indirect cost required to make a product. Usually, manufacturing Overheads cannot be easily traced to individual units of finished product.

To state:

Whether the product costs are Direct Material, Direct Labor or Factory Overheads

Requirement 3.

To determine

Introduction:

Selling expenses are those which are associated with selling the product. It includes the cost of sales personnel, sales commissions, marketing, advertising and distribution of product.

General and administrative expenses relate to the costs of general operations of the company. It includes cost of executive salaries and offices, human resource department, research and development of new product and cost of maintaining the company.

To state:

Whether the period costs are selling or general or administrative expenses

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 5

Chapter 18, Problem 2BPSB

Requirement 1.

To determine

Introduction:

Product costs are the cost of Direct Material, Direct Labour and Manufacturing Overheads used in making the product.

Period costs are usually associated with the selling function of the business or its general administration. Period costs are reported in the accounting period in which they best match with revenues, when they expire or in the current accounting period. Interest expenses are also in the nature of period expense.

To state:

Whether the costs are either Product or Period cost

Requirement 2.

To determine

Introduction:

Direct Material is the cost which can be easily traceable to a product. It is an integral part of the finished product and often referred to as Raw material.

Direct Labor can be physically and conveniently traced to a unit of finished product. This is the cost of people who make the product.

Factory Overheads include all other indirect cost required to make a product. Usually, manufacturing Overheads cannot be easily traced to individual units of finished product.

To state:

Whether the product costs are Direct Material, Direct Labor or Factory Overheads

Requirement 3.

To determine

Introduction:

Selling expenses are those which are associated with selling the product. It includes the cost of sales personnel, sales commissions, marketing, advertising and distribution of product.

General and administrative expenses relate to the costs of general operations of the company. It includes cost of executive salaries and offices, human resource department, research and development of new product and cost of maintaining the company.

To state:

Whether the period costs are selling or general or administrative expenses

Answer 6

Chapter 18, Problem 2BPSB

Requirement 1.

To determine

Introduction:

Product costs are the cost of Direct Material, Direct Labour and Manufacturing Overheads used in making the product.

Period costs are usually associated with the selling function of the business or its general administration. Period costs are reported in the accounting period in which they best match with revenues, when they expire or in the current accounting period. Interest expenses are also in the nature of period expense.

To state:

Whether the costs are either Product or Period cost

Answer 7

Chapter 18, Problem 2BPSB

Requirement 1.

To determine

Introduction:

Product costs are the cost of Direct Material, Direct Labour and Manufacturing Overheads used in making the product.

Period costs are usually associated with the selling function of the business or its general administration. Period costs are reported in the accounting period in which they best match with revenues, when they expire or in the current accounting period. Interest expenses are also in the nature of period expense.

To state:

Whether the costs are either Product or Period cost

Answer 8

Requirement 2.

To determine

Introduction:

Direct Material is the cost which can be easily traceable to a product. It is an integral part of the finished product and often referred to as Raw material.

Direct Labor can be physically and conveniently traced to a unit of finished product. This is the cost of people who make the product.

Factory Overheads include all other indirect cost required to make a product. Usually, manufacturing Overheads cannot be easily traced to individual units of finished product.

To state:

Whether the product costs are Direct Material, Direct Labor or Factory Overheads

Answer 9

Requirement 2.

To determine

Introduction:

Direct Material is the cost which can be easily traceable to a product. It is an integral part of the finished product and often referred to as Raw material.

Direct Labor can be physically and conveniently traced to a unit of finished product. This is the cost of people who make the product.

Factory Overheads include all other indirect cost required to make a product. Usually, manufacturing Overheads cannot be easily traced to individual units of finished product.

To state:

Whether the product costs are Direct Material, Direct Labor or Factory Overheads

Answer 10

Requirement 3.

To determine

Introduction:

Selling expenses are those which are associated with selling the product. It includes the cost of sales personnel, sales commissions, marketing, advertising and distribution of product.

General and administrative expenses relate to the costs of general operations of the company. It includes cost of executive salaries and offices, human resource department, research and development of new product and cost of maintaining the company.

To state:

Whether the period costs are selling or general or administrative expenses

Answer 11

Requirement 3.

To determine

Introduction:

Selling expenses are those which are associated with selling the product. It includes the cost of sales personnel, sales commissions, marketing, advertising and distribution of product.

General and administrative expenses relate to the costs of general operations of the company. It includes cost of executive salaries and offices, human resource department, research and development of new product and cost of maintaining the company.

To state:

Whether the period costs are selling or general or administrative expenses

Answer 12

Expert Solution & Answer

Answer 13

Expert Solution & Answer

Answer 14

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 15

Ch. 18 - Prob. 1DQ Ch. 18 - Prob. 2DQ Ch. 18 - Prob. 3DQ Ch. 18 - Prob. 4DQ Ch. 18 - Prob. 5DQ Ch. 18 - Prob. 6DQ Ch. 18 - Prob. 7DQ Ch. 18 - Prob. 8DQ Ch. 18 - Prob. 9DQ Ch. 18 - Prob. 10DQ

Videos

Want to see the full answer?

Chapter 18 Solutions