In manufacturing companies, labor and materials costs are broken into direct and indirect components. Direct costs are those that can be traced directly to the products that are being produced, while ...

In financial accounting and taxes, attributing expenses to the correct category isn’t just a tip or guideline; it’s a requirement when filing IRS forms, requesting grant funds, or reporting to ...

Companies are always looking for ways to save money. They may have already cut costs in areas like manufacturing and shipping. Now, they're turning to a hidden area where they can save more money ...

Small-business manufacturing firms use the schedule of goods manufactured to track the costs incurred in production. A schedule of goods manufactured breaks down the costs of the raw materials, labor ...

The burden rate can help you target profitability by exploring the relationship between direct and indirect costs. Many, or all, of the products featured on this page are from our advertising partners ...

Adam Hayes, Ph.D., CFA, is a financial writer with 15+ years Wall Street experience as a derivatives trader. Besides his extensive derivative trading expertise, Adam is an expert in economics and ...

Most opportunities to reduce product cost come early in development, when specifics are not yet nailed down. Unfortunately, there are significant obstacles to making early cost trade-offs. For ...