Which of the following is a period cost?

a. depreciation on factory lunchroom furniture
b. computer chips used by a computer manufacturer
c. salary of telephone receptionist in the sales office
d. salary of a security guard for the factory parking lot

Option C                

Explanation:

A period cost refers to the cost which can not be elaborated into deferred, production, or capital equipment expenditures. A cycle loss coincides more strongly with the flow of time than with a programmatic case. Since a time expense is practically often paid to spend at once, a period payment may more aptly be named.

In the time accrued a duration expense is added to the spending. That form of cost is not included in the cost of the goods being produced on the declaration of profits. Instead, it is usually included within the income statement's segment on sales and administrative expenses.

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