1. Wages of assembly line workers 2. President's salary 3. Plant utilities 4. Sales force commissions 5. Shipping costs, -Factory rent Research and development expenses. Property taxes Advertising Supplies used in production

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For apparel manufacturer Abercrobmie & Fitch, Inc., classify each of the following costs as either a product cost or a period cost: Research and development costs Depreciation on sewing machines Fabric used during production Depreciation on office equipment Advertising expenses Repairs and maintenance costs for sewing machines Salary of production quality control supervisor Utility costs for office building Sales commissions Salaries of distribution center personnel Wages of sewing machine operators Factory janitorial supplies Chief financial officer’s salary Travel costs of media relations employees Factory supervisors’ salaries Oil used to lubricate sewing machines Property taxes on factory building and equipment

Which one of the following represents a period cost? 1) The VP of Sales' salary and benefits 2) Overhead allocated to the manufacturing operations 3) Labor costs associated with quality control 4) Fringe benefits associated with factory workers

Which of the following is a period cost? a. Property taxes on the production facilities. b. The production supervisor's salary. c. Costs to ship the product to the customer. d. Depreciation of the factory equipment.