Classify each of the costs below as either a product cost or a period cost under (a) absorption costing and (b) variable costing. Cost Amount Absorption Costing Variable Costing Direct materials $ 4 per unit Direct labor $ 7 per unit Variable overhead $ 3 per unit Fixed overhead $ 340,000 per year Variable selling and administrative expenses $ 0.40 per unit Fixed selling and administrative expenses $ 240,000 per year