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Cost Accounting
The process of recording, classifying, and allocating all costs associated with the production of goods and services.
Measuring Product Costs
Measuring product costs involves calculating the total expenses incurred in the production of goods, including direct materials, direct labor, and manufacturing overhead.
Work In Process Inventory
Items in the production process that are not yet finished products, including material, labor, and overhead costs applied to them.
Actual Manufacturing Overhead Costs
The incurred expenses related to producing goods that are not directly tied to the product such as utilities, rent, and maintenance.
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