17. Which of the following is not a period cost? a. Advertising cost. b. Salary of the company president. c. Goods purchased for resale. d. Interest paid on a company note. a. 18. Which of the following statements is true? The product costs associated with inventory are expensed when the inventory is purchased. b. Administrative salaries are product costs. All period costs are expensed in the period they are paid for in cash. d. Product costs are initially recorded as assets. c. 19. STU Company experienced an accounting event that affected its financial statements as indicated below: Assets Liab. + Equity Rev. Exp. Cash Flow Net Inc. NA + NA NA NA NA OA Assuming STU uses the perpetual inventory method, which of the following events could have caused these effects? a. Purchased inventory on account. b. Wrote down inventory to recognize a market value that was below cost. c. Paid transportation-in costs. d. Recognized a sale