Examlex
What does L stand for in the following equation:
Variable Overhead
Costs that vary with the level of production or business activity, such as utilities or materials, in contrast to fixed overhead costs.
Direct Labor
The wages or costs associated with workers who are directly involved in the manufacturing or production of goods or services.
Direct Materials
Raw materials that are directly attributed to the production of a product and are easily traceable to the manufacturing process.
Variable Overhead
Costs that vary with the level of production output, such as utilities for manufacturing equipment, which increase as production increases.
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