Define manufacturing overhead- explain the difference, Finance Basics

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Define manufacturing overhead- explain the difference

1. Define manufacturing overhead.

2. Explain the difference between direct materials purchases in a month and direct materials used for the month.

3. Why do firms like to calculate a percentage column on the income statement (in which each line item is expressed as a percentage of sales)?

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Finance Basics: Define manufacturing overhead- explain the difference

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Finance Basics: Define manufacturing overhead- explain the difference

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