22:
149:
that become a part of the finished product. Manufacturing adds value to raw materials by applying a chain of operations to maintain a deliverable product. There are many operations that can be applied to raw materials such as
166:
The direct labour cost is the cost of workers who can be easily identified with the unit of production. Types of labour who are considered to be part of the direct labour cost are the assembly workers on an
179:
Manufacturing overhead is any manufacturing cost that is neither direct materials cost nor direct labour cost. Manufacturing overhead includes all charges that provide support to manufacturing.
261:
121:
is the sum of costs of all resources consumed in the process of making a product. The manufacturing cost is classified into three categories:
86:
58:
298:
248:
65:
39:
105:
72:
54:
43:
195:
Indirect materials cost: Indirect materials cost is the cost associated with consumables, such as lubricants,
188:
Indirect labour cost: The indirect labour cost is the cost associated with workers, such as supervisors and
32:
79:
318:
122:
8:
134:
130:
211:
196:
294:
244:
189:
158:. It is important to differentiate between direct materials and indirect materials.
313:
307:
168:
146:
215:
126:
207:
21:
155:
206:
Other indirect manufacturing cost: includes machine depreciation,
219:
151:
200:
218:, freight and transportation, or any expenses that keep the
241:
Cost
Analysis and Estimating for Engineering and Management
192:
team, who are not directly involved in the production.
262:"A fresh approach to improving total delivered cost"
46:. Unsourced material may be challenged and removed.
182:
289:Lanen, W. N., Anderson, S., Maher, M. W. (2008).
305:
259:
174:
106:Learn how and when to remove this message
140:
239:Ostwald, P. F., McLaren, T. S. (2004),
306:
260:Schaefer, Ted; Kosansky, Alan (2014).
203:, that are not used as raw materials.
161:
44:adding citations to reliable sources
15:
13:
283:
14:
330:
20:
291:Fundamentals of cost accounting
183:Manufacturing overhead includes
31:needs additional citations for
253:
233:
1:
226:
7:
10:
335:
145:Direct materials are the
266:Supply Chain Quarterly
175:Manufacturing overhead
141:Direct materials cost
123:direct materials cost
133:. It is a factor in
55:"Manufacturing cost"
40:improve this article
135:total delivery cost
212:property insurance
162:Direct labour cost
129:and manufacturing
119:Manufacturing cost
299:978-0-07-352672-0
249:978-0-13-142127-1
243:, Prentice Hall,
190:material handling
116:
115:
108:
90:
326:
277:
276:
274:
272:
257:
251:
237:
111:
104:
100:
97:
91:
89:
48:
24:
16:
334:
333:
329:
328:
327:
325:
324:
323:
304:
303:
293:, McGraw Hill,
286:
284:Further reading
281:
280:
270:
268:
258:
254:
238:
234:
229:
185:
177:
164:
143:
112:
101:
95:
92:
49:
47:
37:
25:
12:
11:
5:
332:
322:
321:
316:
302:
301:
285:
282:
279:
278:
252:
231:
230:
228:
225:
224:
223:
204:
193:
184:
181:
176:
173:
163:
160:
154:, cutting and
142:
139:
114:
113:
28:
26:
19:
9:
6:
4:
3:
2:
331:
320:
319:Manufacturing
317:
315:
312:
311:
309:
300:
296:
292:
288:
287:
267:
263:
256:
250:
246:
242:
236:
232:
221:
217:
213:
209:
205:
202:
198:
194:
191:
187:
186:
180:
172:
170:
169:assembly line
159:
157:
153:
148:
147:raw materials
138:
136:
132:
128:
124:
120:
110:
107:
99:
88:
85:
81:
78:
74:
71:
67:
64:
60:
57: –
56:
52:
51:Find sources:
45:
41:
35:
34:
29:This article
27:
23:
18:
17:
290:
269:. Retrieved
265:
255:
240:
235:
178:
165:
144:
118:
117:
102:
96:January 2024
93:
83:
76:
69:
62:
50:
38:Please help
33:verification
30:
216:electricity
308:Categories
227:References
222:operating.
127:labor cost
66:newspapers
208:land rent
125:, direct
271:24 March
156:painting
131:overhead
220:factory
152:welding
80:scholar
297:
247:
199:, and
197:grease
82:
75:
68:
61:
53:
314:Costs
201:water
87:JSTOR
73:books
295:ISBN
273:2020
245:ISBN
59:news
42:by
310::
264:.
214:,
210:,
171:.
137:.
275:.
109:)
103:(
98:)
94:(
84:·
77:·
70:·
63:·
36:.
Text is available under the Creative Commons Attribution-ShareAlike License. Additional terms may apply.
