Asked by
Randy Santiago IRizarry
on Oct 11, 2024
Verified
The cost of the raw materials that will be used in manufacturing the computer board is:
A) a sunk cost
B) a fixed cost
C) a period cost
D) a variable cost
Variable Cost
Expenses that vary directly with the level of production or volume of operations in a business.
Period Cost
These are costs that are not directly tied to the production process and are expensed in the period in which they occur. Examples include selling, general, and administrative expenses.
Raw Materials
Basic materials used in the production process, transformed into finished goods through manufacturing or processing.
- Discern and detail the different classes of expenditures involved in products and operational procedures, embodying product expenditures, period expenditures, and opportunity expenditures.
Verified Answer
GA
Learning Objectives
- Discern and detail the different classes of expenditures involved in products and operational procedures, embodying product expenditures, period expenditures, and opportunity expenditures.