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Variable Overhead Costs
Expenses related to production that vary with the level of output, such as utilities for a manufacturing plant, which increase with more production.
Fixed Overhead Costs
Costs that do not vary with the level of production or sales, including rent, salaries, and insurance.
Standard Cost
A predetermined cost of manufacturing, storing, and selling a product, used as a benchmark to measure actual performance and budgeting.
Overhead Controllable Variance
The difference between the actual overhead costs incurred and the budgeted amounts that could be controlled or influenced by management.
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