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The following is a list of costs that were incurred in producing your accounting textbook. REQUIRED: classify each cost as only ONE of the three
The following is a list of costs that were incurred in producing your accounting textbook. REQUIRED: classify each cost as only ONE of the three Product Costs, or ONE of the two Period Costs. Salary of the Chief Financial Officer (CFO) A. Administrative expense Insurance on the factory building and the factory equipment B Overhead cost Hourly wages of the printing press operators during production of the textbook. D. Direct materials cost. Straight-line depreciation on the printing presses used to manufacture the textbook. E. Selling expense Cardboard which is used as book covers Electricity used to run the printing presses during production Glue used to bind pages to the spine of the book Sales commissions paid to textbook representatives for each textbook sold Straight line depreciation on the office building Paper on which the textbook is printed Wages for the artists who develop artwork specifically for the textbook
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