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Brief illustrations often have more impact when used
Indirect Product Costs
Costs that are not directly traceable to a specific product but are necessary for the production process, such as utilities or managerial salaries.
Predetermined Overhead Rate
An estimated rate used to allocate manufacturing overhead costs to products or job orders, based on a set activity measure.
Raw Materials
Basic materials that are used in the production process to manufacture finished goods.
Finished Goods
Finished goods awaiting sale and not yet delivered to end-users.
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