[S1] Costs that are expensed when incurred are called period costs. [S2] In financial accounting, all manufacturing costs are product costs. a. both are true b. both are false c. S1 is true d. S2 is true

[S1] A cost is either direct or indirect. The classification changes if the costs object changes. [S2] Manufacturing overhead is an indirect cost with respect to units of product. a. both are trueb. both are falsec. S1 is trued. S2 is true

3. As product costs expire(expensed), they become part of a. selling expenses. b. inventory. C. cost of goods sold. d. sales revenue.