(Solution) - Operating costs incurred by a manufacturing company become either 1 -(2025 Original AI-Free Solution)

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Operating costs incurred by a manufacturing company become either (1) part of the cost of inventory to be expensed as cost of goods sold at the time the finished goods are sold or (2) expenses at the time they are incurred. Indicate whether each of the following costs belongs in category (1) or (2).
---- a. Wages of factory workers
---- b. Costs of raw materials purchased
---- c. Sales salaries
---- d. Heat, light, and power for the factory building
---- e. Heat, light, and power for the headquarters office building