Question

Which of the following costs are included in the cost classification that is based on the time frame perspective?

A. Variable cost and fixed cost.
B. Direct cost and indirect cost.
C. Product cost and period cost.
D. Committed cost and discretionary cost.

Answer 1

The costs included in the cost classification based on the time frame perspective are product cost and period cost.

Step-by-step explanation:

In cost classification based on the time frame perspective, the costs that are included are product cost and period cost. Product costs are the costs directly incurred in the production of goods or services, such as direct materials and direct labor. Period costs, on the other hand, are costs that are not directly tied to the production process, such as selling and administrative expenses.