Cost Recognition

Indicate whether each of the following is a direct cost (D), an indirect cost (ID), or neither (N) and whether it is a variable (V) or a fixed (F) cost. Also indicate whether each adds value (VA) or does not add value (NVA) to the product and whether each is a product cost (PD) or a period cost (PER).

a. Production foreman's salary	SelectD, V, VA, PDD, V, VA, PERD, V, NVA, PDD, V, NVA, PERD, F, VA, PDD, F, VA, PERD, F, NVA, PDD, F, NVA, PERID, V, VA, PDID, V, VA, PERID, V, NVA, PDID, V, NVA, PERID, F, VA, PDID, F, VA, PERID, F, NVA, PDID, F, NVA, PERNeither, V, VA, PDNeither, V, VA, PERNeither, V, NVA, PDNeither, V, NVA, PERNeither, F, VA, PDNeither, F, VA, PERNeither, F, NVA, PDNeither, F, NVA, PERItem 1
b. Straight-line depreciation on office equipment	SelectD, V, VA, PDD, V, VA, PERD, V, NVA, PDD, V, NVA, PERD, F, VA, PDD, F, VA, PERD, F, NVA, PDD, F, NVA, PERID, V, VA, PDID, V, VA, PERID, V, NVA, PDID, V, NVA, PERID, F, VA, PDID, F, VA, PERID, F, NVA, PDID, F, NVA, PERNeither, V, VA, PDNeither, V, VA, PERNeither, V, NVA, PDNeither, V, NVA, PERNeither, F, VA, PDNeither, F, VA, PERNeither, F, NVA, PDNeither, F, NVA, PERItem 2
c. Wages of a production-line worker	SelectD, V, VA, PDD, V, VA, PERD, V, NVA, PDD, V, NVA, PERD, F, VA, PDD, F, VA, PERD, F, NVA, PDD, F, NVA, PERID, V, VA, PDID, V, VA, PERID, V, NVA, PDID, V, NVA, PERID, F, VA, PDID, F, VA, PERID, F, NVA, PDID, F, NVA, PERNeither, V, VA, PDNeither, V, VA, PERNeither, V, NVA, PDNeither, V, NVA, PERNeither, F, VA, PDNeither, F, VA, PERNeither, F, NVA, PDNeither, F, NVA, PERItem 3