Which of the Following Is a Period Cost

question 173

Multiple Choice

Which of the following is a period cost?

• A) manufacturing overhead
• B) direct labor cost
• C) direct materials cost
• D) administrative cost

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Definitions:

Judgment

A formal decision made by a court regarding the rights and liabilities of parties in a legal action or proceeding.

Diversity of Citizenship

A legal principle allowing federal courts to hear cases where the parties are citizens of different states or countries, aiming to prevent state court bias.

Principal Place of Business

The primary location where a corporation's executives direct, control, and coordinate the business activities.

Incorporated

The process by which a business is legally declared a corporate entity, separate and distinct from its owners, with its own rights and liabilities.