Examlex
Direct Labor
Work done by employees that can be directly traced to the production of goods or services, as opposed to indirect labor involved in support activities.
Direct Materials
The raw materials that are directly traceable to the manufacturing of a product and are an integral part of the finished product.
Depreciation
The systematic allocation of the cost of a tangible asset over its useful life, reflecting the asset's consumption or decline in value.
Period Cost
Expenses that are not directly tied to the production process and are expensed in the period in which they are incurred.
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