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Potential strategies to mitigate the risk of expropriation and amendments in the investment agreement include
Direct Cost
Expenses that can be directly traced to the production of specific goods or services, such as raw materials and labor.
Indirect Cost
Costs associated with operations that cannot be directly linked to a specific product, service, or project (e.g., utilities, rent, and managerial salaries).
Period Cost
Expenses not directly tied to the production of goods, thereby charged to the accounting period in which they occur.
Product Cost
Costs that are incurred to acquire or manufacture a product, including direct materials, direct labor, and manufacturing overhead.
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