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Budgeted Rate
A predetermined rate used in budgeting to estimate costs or revenues for a specific activity or product.
Work in Process
Inventory that includes materials that have been partially processed but are not yet finished goods.
Overhead Costs
Indirect expenses related to the day-to-day running of a business, not directly tied to specific product or service production.
Variable Costing
An accounting method that includes only variable production costs (materials, labor, and overhead) in product costs and treats fixed overhead costs as period costs.
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