ACC 304 help A Guide to career/Snaptutorial ACC 304 help A Guide to career/Snaptutorial | Page 37

c. Product and period costs.
d. Neither product or period costs.
51.
Which of the following is correct?
a. Selling costs are product costs.
b. Manufacturing overhead costs are product costs.
c. Interest costs for routine inventories are product costs.
d. All of these.
52. All of the following costs should be charged against revenue
in the period in which costs are incurred except for
a. manufacturing overhead costs for a product manufactured and
sold in the same accounting period.
b. costs which will not benefit any future period.
c. costs from idle manufacturing capacity resulting from an
unexpected plant shutdown.
d. costs of normal shrinkage and scrap incurred for the manufacture
of a product in ending inventory.
53. Which of the following types of interest cost incurred in
connection with the purchase or manufacture of inventory should be
capitalized as a product cost?
a. Purchase discounts lost