Question

Costs Classification a. Cost of electronic guidance system installed in the airplane cockpit b. Special advertising campaign in Aviation World magazine c. Salary of chief compliance officer of company d. Salary of chief financial officer e. Decals for cockpit door, the cost of which is immaterial to the cost of the final product f. Cost of electrical wiring throughout the airplane g. Cost of normal scrap from production of airplane body h. Instrument panel installed in the airplane cockpit i. Deprediation on factory equipment j. Masks for use by painters in painting the airplane body k. Cost of paving the headquarters employee parking lot L. Turbo-charged airplane engine Product costs-direct materials cost Product costs-direct labor cost Product costs-factory overhead cost Period costs-selling expense Period costs-administrative expense m. Prebuilt leather seats installed in the first-dass cabin n. Human Resources Department costs for the year o. Hourly wages of employees that assemble the airplane p. Salary of the Marketing Department personnel a. oil to lbricate factory equipment r. Yearly cost of the maintenance contract for robotic equipment s. Hydraulic pumps used in the airplane's flight control system t. Cost of miniature replicas of the airplane used to promote and market the airplane u. Metal used for producing the airplane body

Answer 1

		Classification
a	Cost of electronic guidance system installed in the airplane cockpit	Product costs-direct materials cost
b	Special advertising campaign in Aviation World magazine	Period costs-selling expense
c	Salary of chief compliance officer of company	Period costs- administrative expense
d	Salary of chief financial officer	Period costs- administrative expense
e	Decals for cockpit door, the cost of which is immaterial to the cost of the final product	Product costs-factory overhead cost
f	Cost of electrical wiring throughout the airplane	Product costs-direct materials cost
g	Cost of normal scrap from production of airplane body	Product costs-factory overhead cost
h	Cost of Instrument panel installed in the airplane cockpit	Product costs-direct materials cost
i	Depreciation on factory equipment	Product costs-factory overhead cost
j	Masks for use by painters in painting the airplane body	Product costs-factory overhead cost
k	Cost of paving the headquarters employee parking lot	Period costs- administrative expense
l	Turbo-charged airplane engine	Product costs-direct materials cost
m	Prebuilt leather seats installed in the first-class cabin	Product costs-direct materials cost
n	Human resources department costs for the year	Period costs-administrative expense
o	Hourly wages of employees that assemble the airplane	Product costs-direct labor cost
p	Salary of the marketing department personnel	Period costs-selling expense
q	Oil to lubricate factory equipment	Product costs-factory overhead cost
r	Yearly cost of the maintenance contract for robotic equipment	Product costs-factory overhead cost
s	Hydraulic pumps used in the airplane's flight control system	Product costs-direct materials cost
t	Cost of miniature replicas of the airplane used to promote and market the airplane	Period costs-selling expense
u	Metal used for producing the airplane body	Product costs-direct materials cost
v	Power used by painting equipment	Product costs-factory overhead cost
w	Annual bonus paid to the chief operating officer of the company	Period costs-administrative expense
x	Interior trim material used throughout the airplane cabin	Product costs-direct materials cost
y	Salary of plant manager	Product costs-factory overhead cost
z	Annual fee to a celebrity to promote the aircraft	Period costs-selling expense