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Direct Labor-Hours
The cumulative hours employees spend directly participating in the manufacturing process.
Variable Manufacturing Overhead
The portion of manufacturing overhead costs that varies directly with production volume, such as utilities or raw materials.
Predetermined Overhead Rate
A rate used to allocate overhead costs to products or job orders, calculated before the period begins based on estimated overhead costs and an allocation base.
Direct Labor-Hours
The total hours worked by employees directly involved in the production of goods or services.
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