Asked by Suzanne Meyer on Apr 30, 2024
Verified
The delivery charges incurred when shipping the computers to distributors and retailers.
A) Fixed product cost.
B) Variable period cost.
C) Fixed period cost.
D) Variable product cost.
Variable Period Cost
Costs that vary with the level of production output or sales and are incurred during a specific accounting period, like direct materials and variable manufacturing overhead.
Delivery Charges
Fees associated with the transport and delivery of goods from the seller to the buyer.
Fixed Product Cost
Costs associated with a product that do not vary with the level of output, such as rent, depreciation, and salaries of permanent staff.
- Identify the differences among several cost classifications (fixed, variable, product, and period) and their importance for financial accounting and decision-making processes.
Verified Answer
Learning Objectives
- Identify the differences among several cost classifications (fixed, variable, product, and period) and their importance for financial accounting and decision-making processes.
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