Classify each cost as either a product cost or a period cost. Indicate whether each product cost is a direct materials cost, a direct labor cost, or factory overhead costjQuery224037089526752618673_1611504575288?
8:52 1 (D v2.cengagenow.com [1] Chapter 15 lassifying Costs he following is a list of costs that were incurred in the production and sale of large ommercial airplanes: lassify each cost as either a product cost or a period cost. Indicate whether each nroduct cost is a direct materials cost, a direct labor cost, or a factory overhead cost. ndicate whether each period cost is a selling expense or an administrative expense. Costs 9 Annual bonus paid to the chief operating ofcer of the ompahy b. Annual fee to a celebrity to promote the aircraft . Cost of electronic guidance system installed in the airplane ockpit - . Cost of electrical wiring throughout the airplane . Cost of miniature replicas of the airplane used to promote -nd market the airplane . Cost of normal scrap from production of airplane body - . Cost of paving the headquarters employee parking lot h. Decals for cockpit door, the cost of which is immaterial to he cost of the final product i. Depreciation on factory equipment i. Hourly wages of employees that assemble the airplane k. Hydraulic pumps used in the airplane's flight control system I. Instrument panel installed in the airplane cockpit rn. Interior trim material used throughout the airplane cabin n. Masks for use by painters in painting the airplane body - . Metal used for producing the airplane body p. Oil to lubricate factory equipment - . Power used by painting equipment r. Prebuilt leather seats installed in the rst-class cabin L . Production Quality Control Department costs for the year . Salaries of Marketing Department personnel u. Salaries of test pilots . Salary of chief financial officer . Salary of plant manager . Special advertising campaign in Aviation World magazine . Turbo-charged airplane engine v . Yearly cost of the maintenance contract for robotic q-uipment Feedback Clauleatlun Period costs-administrative expense J Period costs-selling expense J Product costs-direct materials cost VI Product costsdirect materials cost \\I Period costs-selling expense J Product costs-factory overhead cost J Period casts-administrative expense J Product costs-factory overhead cost J Product costsfactory overhead cost J Product costs-direct labor cost J Product costs-direct materials cost J Product costsdirect materials cost J Product casts-direct materials cost J Product costs-factory overhead cost J Product casts-direct materials cost VI Product costs-factory overhead cost J Product costs-factory overhead cost J Product costs-direct materials cost J Product costsdirect labor cost X Product costs-factory overhead cost X Period casts~administrative expense X Period costs-administrative expense J Period casts-administrative expense x Product costs-direct materials cost X Product costs-factory overhead cost X Product costs-direct labor cost X van-a MyWork a-z. Product costs are costs associated with the product. Period costs are selling and administrative expenses. e + E]
