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Finished Goods
Products that have completed the manufacturing process and are ready to be sold to consumers.
Work in Process Inventory
Goods that are in the process of being manufactured but are not yet completed.
Direct Materials
Raw materials that are directly traceable and attributable to the manufacturing process of a product.
Overhead Application Rate
The overhead application rate is a calculated rate used to apply or allocate overhead costs to individual units of production, based on a specific formula, such as machine hours or labor hours.
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