Examlex
A functional sales structure is simple because a single representative takes care of each customer for the lifetime of the relationship.
Absorption Costing
An accounting method that includes all manufacturing costs - direct materials, direct labor, and both fixed and variable manufacturing overhead - in the cost of a product.
Nonmanufacturing Costs
Expenses that are not directly tied to the production of goods, including selling, general, and administrative expenses.
Predetermined Overhead Rate
An estimated rate used to assign manufacturing overhead costs to products, based on a planned level of activity or volume of production.
Manufacturing Overhead Cost
Indirect costs related to the production process, such as factory utilities, that cannot be traced directly to specific products.
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