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Promotion is considered an uncontrollable environmental factor.
Estimated Overhead
Projected costs of indirect materials, labor, and other expenses that are necessary for production but are not directly traceable to specific products.
Allocation Factor
A criterion or formula used to distribute costs or revenues among various departments, products, or projects based on relevant measures such as time, usage, or volume.
Direct Labor Hours
The total hours worked by employees directly involved in the production process, used as a measure for allocating labor costs to products or services.
Factory Overhead
All indirect costs associated with the production process, such as utilities, maintenance, and salaries for managers.
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