Budgeted manufacturing overhead includes indirect manufacturing costs,but not selling or administrative costs.

Question

Quizplus · Accepted Answer

Budgeted manufacturing overhead only includes indirect costs directly related to the manufacturing process such as rent for the manufacturing facility, utilities, depreciation on manufacturing equipment, and salaries of production supervisors. Selling and administrative expenses are not considered manufacturing overhead.

Budgeted Manufacturing Overhead Includes Indirect Manufacturing Costs,but Not Selling or Administrative