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Factory Floor Area
The physical space within a manufacturing facility where goods are produced or processed.
Traditional Costing System
An accounting method that allocates manufacturing overhead based on the volume of products produced, often using a single predetermined overhead rate.
Manufacturing Overhead Costs
Indirect costs incurred in the production process, including costs associated with maintaining factory equipment and facilities.
Factory Burden
Also known as manufacturing overhead, it includes all production costs except direct labor and direct materials.
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