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Direct Materials
Raw materials that are directly used in the production of goods, traceable to the end product.
Factory Overhead
All the indirect costs related to manufacturing, which are not directly tied to the production of goods, such as utilities and rent for the manufacturing facility.
Direct Labor
The labor costs directly associated with the production of goods or the provision of services, typically including wages paid to workers who physically manufacture products.
Manufacturing Costs
Expenses directly related to the production of goods, including materials, labor, and overhead.
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