Write a brief summary and explain why managers account for inventoriable and period costs. Explain the differences between inventoriable and period costs
What will be an ideal response?
The inventoriable costs are all costs of a product that a firm regards as an asset in the accounting period when they incurred. They become a cost of the goods sold in the accounting period when the product is sold.
Managers expense period costs in the accounting period that they are incurred. All of the costs in an income statement with the exception of cost of goods sold.
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Sales reps might have better insight into developing trends than any other group, and forecasting might give them greater confidence in their sales quotas and more incentive to achieve them
Indicate whether the statement is true or false
Which of the following statements is true of a product sales-force structure?
A) A product sales-force structure is characterized by specialization along product lines. B) A product sales-force structure is used when a company has only one product line. C) A product sales-force structure requires every salesperson to be an expert in all the product categories of the company. D) A product sales-force structure organizes the sales force along customer or industry lines. E) A product sales-force structure uses a single sales force across different product lines.