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Under the doctrine of strict liability, a plaintiff cannot recover punitive damages for reckless conduct of the defendant.
Predetermined Overhead Rate
A rate used to allocate manufacturing overhead to individual products or job orders, calculated before the production period begins based on estimated costs.
Direct Labour Hours
The total hours worked by employees directly involved in the manufacturing process, affecting the overall production cost.
Actual Manufacturing Overhead
The total of all actual indirect costs incurred in the production process, not directly tied to a specific product.
Job-Order Cost Sheets
Documents that track the expenses associated with manufacturing a specific job, including materials, labor, and overhead.
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