The following cost items relate to the Henning Company. Classify each cost as a variable cost or a fixed cost by placing an X in the appropriate column. Each cost should be evaluated by how it changes in total with changes in the volume of activity. Also indicate with an X for each item if it is a product cost or a period cost.?Variable or fixed cost?Product or period cost?Cost itemVariableFixedProductPeriodExecutive salary????Direct labor????Direct materials????Depreciation of factory equipment????Indirect labor????Delivery expense????Television advertising????Indirect materials????
What will be an ideal response?
| ? | Variable or fixed cost? | Product or period cost? | ||
| Cost item | Variable | Fixed | Product | Period |
| Executive salary | ? | X | ? | X |
| Direct labor | X | ? | X | ? |
| Direct materials | X | ? | X | ? |
| Depreciation of factory equipment | ? | X | X | ? |
| Indirect labor | X | ? | X | ? |
| Delivery expense | X | ? | ? | X |
| Television advertising | ? | X | ? | X |
| Indirect materials | X | ? | X | ? |
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Indicate whether the statement is true or false
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