Answer the following statements true (T) or false (F)

1. Factory rent, as well as factory property taxes and insurance, are included in manufacturing
overhead.
2. Manufacturing companies have inventory accounts, but merchandising companies do not.
3. Freight costs paid to ship raw materials to a company warehouse are considered product costs.
4. Sales commissions are included in manufacturing overhead.
5. In a manufacturing company, advertising and marketing costs are examples of period costs.


1. TRUE
2. FALSE
3. TRUE
4. FALSE
5. TRUE

Business

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