Examlex
_________ refer to common two-letter combinations in the English language.
Product Costs
The costs directly associated with the production of goods, including direct labor, direct materials, and manufacturing overhead.
Inventoriable Costs
Costs that are initially recorded as inventory on the balance sheet and recognized as cost of goods sold only when the inventory is sold.
Conversion Cost
The combined costs of direct labor and manufacturing overhead, representing the expenses to convert raw materials into finished goods.
Manufacturing Overhead
All manufacturing costs other than direct materials and direct labor, not directly traceable to specific units produced.
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