When using process costing, labor and overhead can be added in any department. Any system for allocating costs to a component of a firm is referred to as costing.
Costing is often used to establish expenses for customers, distribution channels, personnel, geographical regions, product lines, processes, subsidiaries, and entire businesses. As defined by cost accounting, "a structured approach to recording and reporting measurements of the costing associated with providing services and producing things, both overall and in detail. It includes techniques for identifying, categorizing, allotting, aggregating, and reporting such costs as well as contrasting them with average costs."
One of the executive divisions of the federal government of the United States is the Department of Labor. Labor is in charge of enforcing federal laws that deal with things like wage and hour requirements, unemployment compensation, services, and even economic statistics.
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