Which one of the following is an example of a period cost?

a. A change in benefits for the union workers who work in the New York plant of a Fortune 1000 manufacturer
b. Workers' compensation insurance on factory workers' wages allocated to the factory
c. A box cost associated with computers
d. A manager's salary for work that is done in the corporate head office

Answer: d. A manager's salary for work that is done in the corporate head office

Business

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A company has the option to pay bond interest or not

Indicate whether this statement is true or false.

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If a company elects to use the fair value option at initial recognition, unrealized gains and losses at year-end are reported as part of other comprehensive income

Indicate whether the statement is true or false.

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