In a manufacturing company all costs are period costs IS IT

In a manufacturing company, all costs are period costs. IS IT TRUE OR FALSE

Solution

false

explanation:- for a manufacture all costs are not period costs because period costs are not charged to cost of production because they are not inurred on the manufacturing process for example- advertisement , depreciation and research and development expenses.

for a manufactures product costs charged to the cost of prodution becayse they are directly or indirectly associated with production process.examples of such costs are raw material , labor, overheads expenses