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Overhead Costs
Indirect expenses related to the general operation of a business, such as rent, utilities, and insurance.
Activity-Based Costing System
A costing methodology that assigns overhead and indirect costs to specific activities related to the production of goods or services, enhancing the accuracy of cost information.
Activity Cost
The expense associated with a specific business operation or activity, often identified in activity-based costing.
Processing Orders
Refers to the sequence of steps undertaken by a business to fulfill customer purchase requests efficiently.
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