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Prime Costs
consists of the direct costs directly attributable to the manufacture of goods, specifically direct materials and direct labor.
Conversion Costs
Costs incurred to convert raw materials into finished products, typically including direct labor and manufacturing overhead.
Managerial Accounting
The practice of identifying, measuring, analyzing, and interpreting accounting information to help managers make informed operational decisions.
Financial Accounting
A branch of accounting that focuses on the process of recording, summarizing, and reporting transactional information related to business operations to external parties.
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