Based on the costs to AP Evilene Company which makes industrial-grade brooms, the classifications of the costs are:
Product and Manufacturing
Period and nonmanufacturing
Product and Direct labor
Period and nonmanufacturing
Product and Manufacturing
Product and Manufacturing
Period and nonmanufacturing
Product and Direct materials
Product and Manufacturing
Product and Manufacturing
Period and nonmanufacturing
Product and Manufacturing
Period and nonmanufacturing
Period and nonmanufacturing
Period and nonmanufacturing
Period and nonmanufacturing
Product and Direct materials
Period and nonmanufacturing
Period and nonmanufacturing
<h3>What are the types of costs?</h3><h3 />
There are period costs which are those which are only incurred in a period of production and are not related to production of goods and services but instead to the selling of them.
Product costs are incurred when the business produces a good or service. They can be direct labor or materials, or a manufacturing overhead that is indirectly related to production.