An indirect cost is business expenses that are not directly related to a particular product or function within the general operation. Costs of this type tend to have an impact on the overall operation of the business. Marking it very difficult to charge the costs to a specific department or associate them with one function.
Cost allocation...
Direct home office expenses are costs that can be specifically attributed to the home office, such as office supplies or equipment. Indirect home office expenses are costs that are shared with the rest of the household, such as utilities or rent, and are allocated based on a percentage of use for the home office.
the indirect form is indirect form hahaha :)
indirect-expense
Indirect
It is done so to keep control on costs as direct costs are controllable while indirect costs are not.
To calculate indirect costs for a grant application, you can use a predetermined indirect cost rate provided by your organization or calculate it based on your organization's actual indirect costs. This rate is applied to the direct costs of the project to determine the total indirect costs to include in the grant application.
Answer this question...why do managers cosider direct costs to be more accurate than indirect costs?
No direct costs and indirect costs are not same and opposite of each other.
direct costs,indirect costs,sunk costs, Activity based costing.
Indirect costs are costs that are not directly accountable to a cost object (such as a particular function or product). Indirect costs may be either fixed or variable. Indirect costs include taxes, administration, personnel and security costs, and are also known as overhead.Costs usually charged directlyProject staffConsultantsProject suppliesPublicationsTravelTrainingCosts usually allocated indirectlyUtilitiesRentAudit and legalAdministrative staffEquipment rental
cost assignments
Indirect material is normal fixed cost that is why it is allocated using some kind of ratio or formula.
Indirect costs of tooth decay include things like lost productivity at work and school. Absenteeism due to dental appointments or severe pain is an indirect cost.
All fixed operating expenses from overhead (indirect) departments
Direct costs- can be conveniently and economically traced to a cost object Indirect costs- cannot be conveniently or economically traced to a cost object. Instead of being traced, these costs are allocated to a cost object in a rational and systematic manner
Cost allocation...