Why Does It Make Sense That There Are Many Cheese

question 86

Essay

Why does it make sense that there are many cheese factories that are staying in Wisconsin, while many clothing manufacturers have been shutting down domestic plants and locating outside of the US?

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Definitions:

Period Costs

Expenses that are not directly tied to the production of goods, such as administrative and selling expenses, and are expensed in the period they are incurred.

Period Costs

Expenses that are not directly tied to production activities and are expensed in the period they are incurred, such as administrative and selling expenses.

Product Costs

Expenses directly associated with the creation of a product, including direct labor, materials, and manufacturing overhead.

Finished Goods Inventory

Inventory of finished goods available for sale by a business.