Definitions Provide Clear, Concise Answers for the Following

question 143

Short Answer

Definitions
Provide clear, concise answers for the following:
-What is a perpetual inventory system?

---

Definitions:

Contribution Margin

The amount remaining from sales revenue after variable expenses are deducted, contributing to covering fixed costs and generating profit.

Machine Hours

A measure of production time, corresponding to the total hours that machines are in operation.

Controllable

Costs or factors that can be adjusted or influenced by the actions of a company or individual within a particular timeframe.

Direct Materials

Essential substances or components specifically allocated to the creation of a product, identifiable in the final product.