Which of the Following Statements Concerning Manufacturing Costs Is Incorrect

question 112

Multiple Choice

Which of the following statements concerning manufacturing costs is incorrect?

• A) All salaries incurred by the sales department are expensed as incurred.
• B) Direct labor costs are recorded initially in an inventory account.
• C) Depreciation on manufacturing equipment is a period cost.
• D) The cost of direct materials can be readily traced to products.

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