Reference no: EM132954666

Problem 1: Which of the following statements is true regarding product and period costs?

Multiple Choice

Option 1: Office salaries expense and factory maintenance are both product costs.
Option 2: Delivery expense is a product cost and indirect materials is a period cost.
Option 3: Factory rent is a product cost and advertising expense is a period cost.
Option 4: Sales commissions and indirect labor are both period costs.
Option 5: Office rent is a product cost and supervisors' salaries expense is a period cost.