Indirect Costs Definition

Below please find a definition of “Indirect Costs”

Financial Analysis Training & Glossary TermsIndirect Costs: Indirect cost is synonymous with overhead cost. Indirect costs are not entirely associated with the production of specific goods or services. However they are indirectly related to a variety of products and services. Administrative expenses that are borne by a company (e.g. staff wages, rent, electricity) are termed as indirect costs.

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