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    « What is a plantwide overhead rate? | Main | What is normal costing? »
    Friday
    Oct292010

    What is indirect overhead?

    Indirect Overhead is any overhead cost that is not part of manufacturing overhead.

    Thus, indirect overhead is not directly related to a company's production of goods or provision of services. Examples of indirect overhead costs are:

    • Office expenses
    • Telephone expenses
    • Administrative salaries
    • Accounting and legal expenses

    Related Questions

    What is fixed overhead?
    What are indirect costs?
    What is manufacturing overhead?
    What is variable overhead?

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