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The distribution of manufacturing overhead costs to individual product unit, or production batches generally, requires a base or a cost driver, to which reference a rate, known as material burden rate applies. Material burden is the amount of manufacturing overhead costs that a unit of the base carries.
Standard Bill of Material. A standard bill of material is the most common type of bill and lists the mandatory components, the required quantity of each component, and information to control work in process, material planning, and other Oracle Manufacturing functions.