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Direct Labor-Hours
A measure of the total hours worked by employees who are directly involved in the manufacturing or production process.
Fixed Manufacturing Overhead
The portion of manufacturing overhead costs that remain constant regardless of the level of production, such as rent and salaries of permanent staff.
Denominator Activity
In managerial accounting, a measure of activity used to allocate fixed costs to cost objects.
Cost Per Unit
It represents the total cost incurred for producing, manufacturing, or acquiring a product divided by the number of units.
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