Georgia pacific, a manufacturer, incurs the following costs. (1) classify each cost as either a product or a period cost. if a product cost, identify it as direct materials, direct labor, or factory overhead, and then as a prime and/or conversion cost. (2) classify each product cost as either a direct cost or an indirect cost using the product as the cost object. direct material period or product cost by traceability direct labor, or direct labor, or prime or prime or conversion factory overhead 1. factory utilities 2. advertising 3. amortization of patents on factory machine 4. state and federal income taxes 5. office supplies used 6. insurance on factory building 7. wages to assembly workers