Discover the key differences between fixed and variable overhead costs and their impact on business operations. Learn how to ...

Overhead refers to certain costs a business incurs when producing a product. Any cost other than the direct cost of labor and the direct cost of materials is considered a form of overhead. Factory ...

Many of the costs a business incurs doing business come down to its ability to deliver a product or service to customers. But not all of them. Companies need to consider overhead costs as well. These ...

Management accounting techniques break costs into two major cost classifications, product costs, which relate to manufacturing, and period costs, which are all non-manufacturing costs. Product costs ...

Suzanne is a content marketer, writer, and fact-checker. She holds a Bachelor of Science in Finance degree from Bridgewater State University and helps develop content strategies. Investopedia / Paige ...

While some business overhead is unavoidable, reducing these expenses can boost profit margins. Many, or all, of the products featured on this page are from our advertising partners who compensate us ...

There are many costs associated with running a business, but all of those costs don’t fall into the same bucket. One type is overhead costs, which are expenses not tied directly to the production of a ...

The percentage of expenses that a nonprofit spends on administrative and fundraising costs are considered its overhead costs. If we take a detailed look at what constitutes as an administrative ...

Overhead allocation is a source of great disagreement in our industry. Should the allocation be based on job price? On job cost? Per project? Or per field man-hour. We understand the pros and cons of ...

Every now and then, you must be controversial and address a subject where your beliefs run counter to common practice. Overhead and overhead-cost recovery is one of these subjects. The controversy has ...