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Direct Labor Hours
The cumulative hours expended by workers directly engaged in the manufacturing of products or provision of services.
Static Budget
A budget that remains unchanged regardless of changes in activity levels, sales volume, or other variables during the budget period.
Variable Costs
Costs that vary directly with the level of production or volume of output, which includes expenses like raw materials and labor directly involved in production.
Fixed Costs
Expenses that do not change with changes in production level or sales volume.
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