Product costs are all the expenses related to producing or acquiring products. Period costs are all other expenses. Period costs are tracked during the period in which they occur and products costs are moved to the expense account for costs of goods sold so when the good they are associated with is sold to make matching those expenses with the sales revenue easy. For example the wages for sales staff who sell a books would be a period cost and be recorded as an expense for the period in which they work. Whereas, if you buy books one year, but don't sell them until the next they wouldn't be recorded in the expense account as cost of goods sold until the following year when they are actually sold and are a product cost.

The difference between a product cost and a period cost. A product cost are those costs that are directly associated with the production or acquisition of a good or product. For example, if a Mike's camera store owner bought cameras and paid the shipping to get them to the store the cost of the camera as well as the cost of the shipping would be considered product costs. A period cost is a little more abstract. A period cost would be all of the other expenses. For example the cost of marketing, advertising and administrative would be considered a period cost.

Respond to the above paragraphs in 2 separate paragraphs in your view or opinion.