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Traditional Product Costing
A costing method that assigns manufacturing overhead costs to products based on volume-related measures such as direct labor hours or machine hours.
Non-manufacturing Costs
Expenses that are not directly involved in the production of goods, including selling, general, and administrative expenses.
ABC Model
The Activity-Based Costing model, which allocates overhead costs to specific activities related to the production of goods or services for more accurate costing.
Resource Drivers
Factors or activities that significantly influence the consumption of resources in a process or operation.
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