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Running Head: RESPONSE 3

Response 3

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2
RESPONSE 3
I agree with the post on the definition of direct and indirect manufacturing items, variable

and fixed manufacturing overhead, and the predetermined manufacturing overhead. Direct items

are part of your product, and the expense of any product directly tacks their prices. A good

example is in a biscuit company where flour and glucose lead to the making of glucose. Indirect

items are very difficult to measure. For example, in the biscuit business, the cleansing of

chemical compounds, sweeper clean among others can be part of the item but indirectly.

The variable manufacturing overhead highlights how expenses are used. A good

example is a focus on lighting which is used in a place, and if the company comes up with

additional operations they consume a lot of time, then the lighting expenses will go high and vice

versa. Fixed overhead revolves around the development. A good example of fixed

manufacturing overhead is the paycheck and the operating cost. The predetermined

manufacturing overhead involves calculating about downgrading, taxation, factory amenities

roundabout fabric, among others.

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