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Predetermined Overhead Rate
An estimated rate used to allocate manufacturing overhead costs to individual units of production, based on a selected activity base.
Direct Labor-hour
The number of labor hours spent on the direct production of goods or services.
Manufacturing Overhead
Costs incurred from the manufacturing process, which exclude both direct labor and materials, are categorized as indirect costs.
Estimated Total
An approximation of the total value, cost, or quantity of a particular item or project.
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