Suppose that you have been given a summer job as an intern at Issac Aircams, a company that manufactures sophisticated spy cameras for remote-controlled military reconnaissance aircraft. The company, which is privately owned, has approached a bank for a loan to help its fianc its growth. The bank requires financial statements before approving such a loan. You have been asked to help prepare the financial statements and were given the following list of costs:

Depreciation on salespersons cars.

Rent on equipment used in the factory

Lubricants used for machine maintenance

Salaries of personnel who work in the finished goods warehouse

Soap and paper towels used by factory workers at the end of a shift.

Factory supervisors salaries

Heat, water, and power consumed in the factory

Materials used for boxing products for shipment overseas. (Unites are not normally boxed)

Advertising cost

Workers compensation insurance for factory employees

Depreciation on chairs and tables in the factory lunchroom

The wages of the receptionist in the administrative offices

Cost of leasing the corporate jet used by the companys executives

The cost of renting rooms at a Florida resort for the annual sales conference

The cost of packaging the companys product.

Required: Classify the above cost as either product cost or period costs for the purpose of preparing the financial statements for the bank.