Question Content Area

Ashland Company, maker of kitchen cabinets, incurred the following costs during the current year:

Classify each cost as either a product or period cost.

Cost Classification

$1.$ Depreciation on automobiles used by the sales staff.

$2.$ Salary of Ashland's chief executive officer

$3.$ Glue used in the production process

$4.$ Supplies for factory washroom

$5.$ Research and development costs

$6.$ Property taxes on factory building

$7.$ Salary of company controller

$8.$ Depreciation on furniture in factory lunchroom

$9.$ Cost of lubricating machinery

$10.$ Wood used in production process