Indirect costs

From WikiMD.org
Jump to navigation Jump to search

Indirect Costs

Indirect costs (pronunciation: /ɪnˈdaɪrɛkt kɒsts/), also known as overhead costs or fixed costs, are expenses that are not directly attributable to a specific product or service. These costs are often incurred for the overall operation of a business and are shared across multiple products, services, or projects.

Etymology

The term "indirect costs" originates from the concept that these costs are not directly linked to the production or delivery of a specific product or service. Instead, they indirectly support the overall operations of a business.

Related Terms

  • Direct Costs: These are costs that can be directly attributed to the production or delivery of a specific product or service.
  • Variable Costs: These are costs that change in proportion to the level of business activity or production.
  • Cost Allocation: This is the process of assigning indirect costs to different products, services, or projects within a business.
  • Cost Accounting: This is a field of accounting that deals with recording and analyzing costs, including indirect costs.

See Also

External links

Esculaap.svg

This WikiMD article is a stub. You can help make it a full article.


Languages: - East Asian 中文, 日本, 한국어, South Asian हिन्दी, Urdu, বাংলা, తెలుగు, தமிழ், ಕನ್ನಡ,
Southeast Asian Indonesian, Vietnamese, Thai, မြန်မာဘာသာ, European español, Deutsch, français, русский, português do Brasil, Italian, polski