Meaning of Overheads:

Overheads is the cost of material, labour and expenses which cannot be economically and
conveniently identified with specific saleable cost unit. Overheads include cost of indirect
materials, indirect labour and indirect expenses which cannot be conveniently charged to any
job or process or cost unit etc. Overhead is generally apportioned to or absorbed by cost units
or cost centres on a certain suitable basis. Overhead is also known as 'Overhead Cost',
'Overhead charges', 'non-productive cost', 'burden', 'oncost' etc.
 Definitions of Overhead:

CIMA defines overhead cost as 'the total cost of indirect materials, indirect labour
and indirect expenses.'

BLOCKER and WELTMER define, "overhead costs are operating costs of a business
enterprise, which cannot be traced directly to a particular unit of output. Further
such costs are invisible or unaccountable."