Period Costs Include distribution Costs          outside Processing Costs        sales Commissions

question 97

Multiple Choice

Period costs include
distribution costs          outside processing costs        sales commissions

• A)yes no yes
• B)no yes yes
• C)no no no
• D)yes yes yes

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Definitions:

Recognized Gain

The portion of a capital gain that must be reported as income for tax purposes.

Excluded Gain

Profit from the sale of an asset that can be exempt from taxes, often related to home sales under specific Internal Revenue Code sections.

Recognized Gain

The portion of a capital gain on which taxes must be paid, typically realized when an asset is sold for more than its purchase price.

Adjusted Basis

The original cost of a property plus improvements and minus depreciation or damages, used to calculate capital gains or losses.