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Variable Overhead Rate
The rate at which variable overhead costs are applied to the production process, typically based on a cost driver.
Fixed Manufacturing Overhead
Regular, consistent expenses involved in the operation of a factory that production levels do not affect, such as rent, property taxes, and salaries.
Direct Labor Budget
An estimation of the total direct labor cost for a future period, including hours and rates for labor required in production.
Direct Labor-Hours
The total hours worked by employees directly involved in the manufacturing process of products.
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