Kalista's Pasta is a pasta conparty in Cecilia, Italy. The owner, Andrew Calista wants to identify the various costs incurred eachyear in order to plan and control the business costs. The comparty's costs for the last year are as follows ( 000's): Utilities for the plant 1,000 Salaries - direct labour 11,000 Pasta equipment maintenance 800 Depreciation-property, plant and equipment 1,000 Uniforms 400 Direct materials 9,500 Insurance for the plant 300 President's salary 15,000 Rent-administrative offices 4,000 Administrative costs 9,000 Advertising and selling expenses 6,500 Boxes and bags used in pasta packaging 6,000 Idle time 600 Overtime premiums- direct labour 3,500 Fringe benefits direct 2,000 Fringe benefits-indirect labour 1.400 Total costs 72.000 Required 2.(4 marks) Divide the total expenses of72,000,000 into two categories: product and period cost b. (7 marks in total) The president, Andrew Calista, is planning to expandhis business into Greece and Spain. This expansion will not require additional pasta facilities, but direct materials and labour will increase significantly. Both Greek and Spanish authorities will require specific documentation and inspections for the goods to get entry approval. This will be an additional cost to take into consideration a (3 marks) Are these additional costs productor period costs? (1) (4 marks) Explain to Andrew Calista whether all these additional costs are relevant to the decision to expandhis business to Greece and Spain