The Nancy Byerly Show

Direct Vs Indirect Costs Explained


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We are continuing our Cost Accounting Series today by discussing direct vs indirect costs. (#directVsIndirectCosts) Direct Costs are easy to explain. They are the costs directly linked to producing a product or service. Where indirect costs (#indirectCosts) cannot be directly linked to the product or service. An example would be a car manufacturer that produces several models at one location. The rent for the building needs to be addressed as a cost.
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The Nancy Byerly ShowBy Nancy Byerly