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Expensed
The process of recording costs as expenses in the income statement in the period in which they are incurred.
Direct Materials
Raw materials that are directly traceable to the production of a specific product and include in its cost.
Predetermined Overhead Rate
A rate calculated before a period begins, used to allocate manufacturing overhead costs to products based on a specific activity base.
Budgeted Manufacturing Overhead
The estimated total indirect costs related to the production process, planned for a specific period.
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