Period costs include

Business

1 answer:

gayaneshka [121]3 years ago

3 0

Answer:

d) operating costs that are shown on the income statement in the period in which they are incurred.

Explanation:

A period cost is that which does not relate to a particular product but rather to a passage of time.

Period costs are often costs that a firm would incurred simply because it is operational and not because goods are sold. For example, whether or not a bakery produces bread, it will have to pay for rent , salaries of administrative workers, provide for depreciation of plant and machines e.t.c.

Period costs are charged are charged to the income statement as expense in the period in which they are incurred. A very popular example of period costs are selling and administrative overheads

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