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Factory Overhead Cost
Indirect manufacturing costs not directly tied to the production of goods, such as utilities and rent for the production facility.
Finished Manufactured Product
Items that have completed the manufacturing process and are ready for sale.
Conversion Cost
Costs incurred during the transformation of raw materials into finished goods, specifically focusing on direct labor and manufacturing overhead expenses.
Direct Materials
Direct materials refer to the raw materials and components that are directly used in the manufacturing of a product, often considered a variable cost.
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