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Relative to their numbers in the population
Nonmanufacturing Cost
Expenses not directly involved in the production of goods, such as selling, administration, and other overhead costs.
Factory Overhead
All indirect costs associated with manufacturing, such as salaries of supervisors, maintenance, and utilities, not directly tied to the production of goods.
Direct Labor
The cost of wages for employees who directly manufacture products or provide services, considered a variable cost in production.
Direct Materials
Raw materials that can be directly attributed to the production of finished goods and are an integral part of the finished product.
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