Question
The Ogden Company has just created a new job position to coordinate shipments of finished goods from the manufacturing facility to distribution warehouses located in
The Ogden Company has just created a new job position to coordinate shipments of finished goods from the manufacturing facility to distribution warehouses located in various parts of the United States so that goods are available quickly for customers.
The company is unsure how to classify this new salary in the cost records. the company's cost analyst says that the salary should be classified as a manufacturing (product) cost; the controller says that it should be classified as a selling (period) expense; and the president says that it doesn't matter which way the salary is classified.
Which view point is correct? The cost analyst's, the controller's, or the president's viewpoint? Explain why
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