Examlex
Direct Materials
The raw materials that are directly traceable to the manufacturing of a product and are integral to its production.
Direct Labour
The amount of effort contributed by employees who work directly on manufacturing a product or delivering a service.
Factory Overhead
Indirect costs associated with manufacturing, including costs of utilities, maintenance, and factory equipment depreciation.
Variable Expenses
Costs that change in proportion to business activity or output levels, such as materials costs and utility expenses directly linked to production.
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