QUESTION 3

1. (04) Which of the following statements is false about product costs?

   	A.	Product costs are also called inventoriable costs.
   	B.	Incurring product costs results in raw materials, work-in-process or finished goods.
   	C.	Product costs include both direct and indirect costs incurred in manufacturing.
   	D.	Product costs are recognized as an expense when the product is completed.

3 points

QUESTION 4

1. (05) Which of the following is not a manufacturing overhead cost?

   	A.	Insurance on administrative building
   	B.	Factory utilities
   	C.	Salary for the production supervisor
   	D.	Depreciation on factory equipment