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Definitions:
Conversion Cost
The sum of direct labor and manufacturing overhead costs, representing the expense to convert raw materials into finished products.
Ending Work
Ending work often refers to the inventory of unfinished goods at the end of an accounting period.
Conversion Cost
Costs incurred during the manufacturing process, which include direct labor and overhead costs, to convert raw materials into finished products.
Total Manufacturing Cost
Total Manufacturing Cost is the aggregate cost of direct materials, direct labor, and manufacturing overhead incurred in the production process.
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