[Solved] What is the difference between a naked call option and a covered call option? Which one is riskier and why? Product Costs: Expenses directly tied to the production of goods, including materials, labor, and factory overhead. Process Cost System: An accounting methodology used to allocate costs to units of production in continuous or repetitive operations. Lumber Mill: A facility where logs are cut into lumber. Custom Home Builder: A custom home builder constructs unique houses designed to meet the specific desires and requirements of the client.