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A secondary appraisal involves
Direct Labor-Hour
A measure of the amount of time spent by workers directly involved in the manufacturing process to produce a single unit.
Predetermined Overhead Rate
A rate calculated before the accounting period begins, used to allocate estimated overhead costs to products or job orders based on a chosen activity base.
Machine-Hours
A measurement of the amount of time machinery is operated, used in calculating production costs and efficiency.
Manufacturing Overhead
All manufacturing costs that are not directly attributable to a product, including indirect materials, labor, and other expenses.
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