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Differences in what can explain the wage gap between U.S.-born and foreign-born workers?
Allocation Base
A measure or statistic used to distribute indirect costs to different cost objects, such as departments or products.
Overhead Costs
Expenses related to the day-to-day running of a business that cannot be directly attributed to creating a product or service, such as rent, utilities, and insurance.
Averaging Process
A method used in manufacturing or cost calculation where inputs or expenses over a period are averaged to determine a standard cost or value.
Absorption Costing
A cost accounting method that includes all manufacturing costs—direct materials, direct labor, and both fixed and variable manufacturing overhead—in the cost of a product.
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