Answer:
These costs are called overhead cost.
Explanation:
Costs that are incurred as part of the manufacturing process but are not clearly associated with specific units of product or batches of production, including all manufacturing costs other than direct material and direct labor costs, are called overhead cost. These costs can not be associated with specific product so they are allocated to product cost based on estimation.
These cost include accounting fees, advertising, depreciation expense insurance, interest, legal fees, labor burden, rent, repairs, supplies, taxes, telephone bills, travel expenditures, and utilities
These costs are futher divided in two categories that is variable overhead cost and fixed overhead cost.
The possibility of the endless cyclical preference is eliminated by the property of: <span>Transitivity
the property of transitivity follow this exact equation
If a=b ; and b=c ; therefore a=c
This very nature of preference is a core principle of human's opinion, which influence us in making our own choices/</span>
