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The combination of normalization and ER modeling yields a useful ERD,whose entities may now be translated into appropriate relationship structures.
Fixed Manufacturing Overhead
Costs in manufacturing that do not change with the level of production output, such as rent, salaries of permanent staff, and depreciation of factory equipment.
Job-Order Costing System
A costing system that assigns costs to specific production jobs, useful for customized orders.
Predetermined Overhead Rate
is a rate used to allocate manufacturing overhead to products, calculated before the accounting period based on estimated costs.
Manufacturing Departments
Units within a manufacturing organization, each specializing in a different stage or aspect of the production process.
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