Every Business, Every Organization, Needs to Be Thinking About the Ubiquitous

question 72

Short Answer

Every business, every organization, needs to be thinking about the ubiquitous and cheap ________ that is growing exponentially.

---

Definitions:

Product Costs

The costs incurred by a company to manufacture or acquire a product which include materials, labor, and overhead.

Direct Materials

Raw materials that are directly traceable to the production of a specific good or service.

Direct Labor

The wages and benefits for employees directly involved in the production of goods or services.

Plantwide Factory Overhead Rate

A single overhead absorption rate used across an entire manufacturing plant, calculated by dividing the total factory overhead by a predetermined base, such as total direct labor hours or machine hours.