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Cash paid for the retirement of long-term debt will be shown:
Direct Materials
Raw materials that can be directly attributed to the production of specific goods or services and are considered a variable cost.
Factory Overhead
All indirect costs incurred during the manufacturing process, excluding direct materials and direct labor.
Factory Rent
Factory rent refers to the cost associated with leasing a premise for manufacturing operations, classified as an overhead expense in accounting.
Prime Costs
The sum of expenses for the raw materials and labor directly involved in the manufacturing of a product.
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