Create an account
What are the 3 categories manufacturers separate costs into?
1. Direct Materials
2. Direct Labor
3. Manufacturing overhead
materials that become an integral part of the finished product and whose costs can be conveniently traced to the finished product
labor costs that cannot be physically traced to particular products or that cab be traced only at great cost and inconvenience
includes all manufacturing costs except direct materials and direct labor. Includes indirect materials indirect labor, maintenance and repairs
include all costs that re incurred to secure customer orders and get the finished product to the customer
all costs associated with the general management of an organization rather than with manufacturing or selling
all costs that are not product costs.
All selling and administrative expenses aret reated as period costs
What are the three cost classifications for decision making?
1. Differential Cost & Revenue
2. Opportunity Cost
3. Sunk Cost
Please allow access to your computer’s microphone to use Voice Recording.
Having trouble? Click here for help.
We can’t access your microphone!
Click the icon above to update your browser permissions and try again
Reload the page to try again!Reload
Press Cmd-0 to reset your zoom
Press Ctrl-0 to reset your zoom
Please upgrade Flash or install Chrome
to use Voice Recording.
For more help, see our troubleshooting page.
Your microphone is muted
For help fixing this issue, see this FAQ.
Star this term
You can study starred terms together