Labor costs charged to manufacturing overhead represent ______ labor costs.

Posted By Admin @ September 03, 2022


Labor costs charged to manufacturing overhead represent ______ labor costs.


The indirect labour cost is shown when labour expenditures are applied to the manufacturing overhead account.

What are the types of overheads?

Overhead expenses include things like accounting fees, advertising, insurance, interest, legal charges, labor costs, rent, maintenance, supplies, taxes, phone bills, travel expenses, and utilities.

Business overheads may be divided into two categories:

  • administrative and
  • manufacturing.

Thus in the above statement, when labour costs are added to the manufacturing cost it gives rise to indirect cost

Learn more about Cost overheads:


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