Match Each of the Following Costs with the Appropriate Classification

question 18

Essay

Match each of the following costs with the appropriate classification (a-e).​
-Define and discuss the two main types of cost accounting systems for manufacturing operations.
A)Product cost - direct materials
B)Product cost - direct labor
C)Product cost - factory overhead
D)Period cost - selling expense
E)Period cost - administrative expense

• A)Product cost - direct materials
• B)Product cost - direct labor
• C)Product cost - factory overhead
• D)Period cost - selling expense
• E)Period cost - administrative expense

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Definitions:

Liability

[Rephrased] is the state of being legally accountable for actions or decisions, often involving financial compensation to aggrieved parties.

Intended Beneficiary

An intended beneficiary is a person or entity that, although not a direct party to a contract, stands to benefit from the contract's performance as intended by the involved parties.

Creditor Beneficiary

A third party that benefits from a contract, specifically where one party promises to pay a debt owed by another party to this third party.

Donee Beneficiary

A third party that benefits from a contract wherein the promisor agrees to give a gift or confer a benefit directly to the third party.