Which of the following costs are reported on the income statement as the cost of goods sold?

A period cost is any cost that cannot be capitalized into prepaid expenses, inventory, or fixed assets. A period cost is more closely associated with the passage of time than with a transactional event. Since a period cost is essentially always charged to expense at once, it may more appropriately be called a period expense. A period cost is charged to expense in the period incurred. This type of cost is not included within the cost of goods sold on the income statement. Instead, it is typically included within the selling and administrative expenses section of the income statement. Examples of period costs are:

Selling expenses

Advertising expenses

Travel and entertainment expenses

Commissions

Depreciation expense

General and administrative expenses

Executive and administrative salaries and benefits

Office rent