Question

Costs that are incurred in generating revenues during the period, but are not involved in the manufacturing process are referred to as

Answer 1

Answer:

Period costs

Explanation:

Period costs are Costs that are incurred in generating revenues during the period, but are not involved in the manufacturing process. These cost are not related directly to the production process. These costs cannot be capitalized on the company's balance sheet. They are expensed in the period in which they were incurred and are included in the financial statement during their assigned accounting period.