Option A Option B Option C Option D A B C D Period cost Yes

Option A

Option B

Option C

Option D

A) B) C) D) Period cost Yes No Yes No Product cost Yes No No Yes

Solution

The correct option is Option D.

Product cost are costs incurred while making a product and include direct materials cost,direct labor and overheads.Period cost on the other hand are costs that are not directly related to manufacture of products and include costs such as selling and adminstrative expenses etc.