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Direct Labor
The cost of wages for employees who directly manufacture products or provide services.
Factory Overhead Applied
The assignment of all indirect costs of manufacturing to the goods produced, including costs such as utilities and maintenance for the manufacturing plant.
Actual Costs
The exact expenses incurred during the production or execution of a project or operation.
Underapplied
A situation in cost accounting where the allocated indirect costs are less than the actual indirect costs incurred, resulting in a discrepancy.
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