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In Europe, EU regulations do not cross national boundaries.
Activity-based Costing
A method of allocating overhead and indirect costs to products or services based on the activities that generate those costs.
Overhead Costs
General business expenses that are not directly attributable to a specific product or service but are necessary for the business to operate.
Direct Labor-hours
The total hours worked by employees directly involved in the manufacturing process, used in assigning costs to products.
Activity-based Costing
A costing method that assigns overhead and indirect costs to specific activities, providing more accurate product costing.
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