The __________ Charge Is Composed of the Costs of Senior

question 27

Short Answer

The __________ charge is composed of the costs of senior management, the various data functions, and any other expenses not included in overhead. Often, these charges are a fixed percentage of either the direct costs or the total of all direct and indirect costs.

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Definitions:

Operation Costing System

A costing system that combines elements of both job costing and process costing, often used in manufacturing.

Job Costing System

An accounting method used to assign costs to specific jobs or projects to accurately track expenses and estimate future costs and profitability.

Operation Costing System

An Operation Costing System is a hybrid costing method used to calculate the cost of products that have both characteristics of batch-produced and continuously produced items.

Direct Materials

Raw materials that can be directly traced to the production of specific goods or services, such as wood for furniture or fabric for clothing.