What Is Overhead? What Items Are Included In Overhead?

1.	What Is Overhead? What Items Are Included In Overhead?
Answer» Overhead is an aggregate of indirect material cost, indirect LABOUR cost and indirect EXPENSES. Overheads are further classified as: FACTORY Overheads – Consists of all overhead costs incurred from the stage of procurement of material till the stage of production of finished GOODS Office and Administration Overheads – Consists of all overhead costs incurred for the overall administration of the ORGANIZATION. Selling and Distribution Overheads – Consists of all overhead costs insured from the stage of final manufacturing of finished goods till the stage of sale of goods in the market and collection of dues from the customers. Overhead is an aggregate of indirect material cost, indirect labour cost and indirect expenses. Overheads are further classified as:

Answer»

Overhead is an aggregate of indirect material cost, indirect LABOUR cost and indirect EXPENSES.

Overheads are further classified as:

FACTORY Overheads – Consists of all overhead costs incurred from the stage of procurement of material till the stage of production of finished GOODS
Office and Administration Overheads – Consists of all overhead costs incurred for the overall administration of the ORGANIZATION.
Selling and Distribution Overheads – Consists of all overhead costs insured from the stage of final manufacturing of finished goods till the stage of sale of goods in the market and collection of dues from the customers.

Overhead is an aggregate of indirect material cost, indirect labour cost and indirect expenses.

Overheads are further classified as:

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