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Variable Overhead Rate Variance
The difference between the actual variable overhead cost incurred during a period and the standard cost that should have been incurred based on the actual activity of the period.
Direct Labor-Hours
A measure of the total hours worked by employees directly involved in manufacturing a product or providing a service.
Overhead Budget
A financial plan estimating the expected indirect costs required to support operational activities within a certain period.
Variable Overhead Costs
Costs that fluctuate with production volume, such as utilities or raw materials.
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