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Manufacturing Company
A business specialized in the production of goods through the use of labor, machines, tools, and chemical or biological processing or formulation.
Predetermined Overhead Rate
A rate used to allocate manufacturing overhead to products, calculated before the accounting period begins based on estimated costs and activity levels.
Manufacturing Overhead
All indirect costs associated with manufacturing, excluding direct materials and direct labor.
Cost of Goods Sold
Cost of Goods Sold (COGS) represents the direct costs attributable to the production of the goods sold in a company.
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