Accounting Discussion

"Product Costs" Please respond to one the following:

Option 1

• Compare and contrast product costs with period costs. Provides examples of products costs and period costs.
• Explain how the cost classification impacts the balance sheet and income statement for a given accounting period.

Option 2

• Analyze how the relevant range can also impact variable costs. Differentiate between the impact of variable and fixed costs on the relevant range. Provide specific examples of the impact of each cost on the relevant range.