Discover what applied cost means in accounting, how it works with allocation rates, and see an example to understand its role ...

Overhead costs are expenses tied to things other than the production of goods or services. Here's how to calculate overhead.

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 ...

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 ...

Your success relies on your ability to successfully allocate your costs. Under-pricing your services can drastically affect your abilities to pay your overhead costs. At the same time, underestimating ...

Adam Hayes, Ph.D., CFA, is a financial writer with 15+ years Wall Street experience as a derivatives trader. Besides his extensive derivative trading expertise, Adam is an expert in economics and ...

As a former corporate controller and senior vice president of operations, I have experienced both sides of allocated overhead. I have learned manufacturing executives have more control over costs ...

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 ...

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 ...