Period costs are costs that cannot be capitalized on a company's balance sheet.
In other words, they are expensed in the period incurred and appear on the income statement.
Period Costs (Non-inventoriable)
- are all other indirect costs that are incurred in production.
- are not assigned to one particular product or the cost of inventory like product costs. - overhead and sales and marketing expenses are common examples of period costs. 28. Maritime Company manufactures and sells Widget Q. For the year 2012, the cost of goods sold of Maritime Company was P350,000. During the year, the work-in process inventory increased by P42,000 and the finished goods inventory decreased by P95,000. The total manufacturing costs incurred by Maritime Company in 2012 were