11. Each of the following would be a period cost except: A. the salary of the company president's secretary. B. the cost of a general accounting office. C. depreciation of a machine used in manufacturing. D. sales commissions. 12. Which of the following costs is an example of a period rather than a product cost? A. Depreciation on production equipment. B. Wages of salespersons. C. Wages of production machine operators. D. Insurance on production equipment. 13. Variable cost: A. increases on a per unit basis as the number of units produced increases. B. remains constant on a per unit basis as the number of units produced increases. C. remains the same in total as production increases. D. decreases on a per unit basis as the number of units produced increases. 14. The primary reason that companies prepare budgets is to A. reprimand their employees for not meeting deadline and spending too much money B. to plan for the future and communicate managements plans throughout the organization C. see what is popular in the industry D. the calculate bonus payments 15. When applying for a loan, which financial statements would a financial institution request? A. Balance Sheet, Trial Balance and Income Statement B. Balance Sheet, Income Statement, Cash Flow Statement C. Balance Sheet, Statement of Retained Earnings and Trial Balance D. Balance Sheet, Cash Slow Statement and Expense Analysis