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Factory Overhead
This refers to all the indirect costs of production that are not directly tied to a specific product, including utilities, maintenance, and salaries of non-direct labor employees.
Predetermined Overhead Rate
A rate used to allocate overhead costs to products or job orders, calculated in advance based on estimated costs and activity levels.
Materials Requisition
The form or electronic transmission used by a manufacturing department to authorize materials issuances from the storeroom.
Materials Ledger
The subsidiary ledger containing the individual accounts for each type of material.
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