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What do Factory costs and Factory hours mean in TPAR?
Is it true that Factory costs include all costs (Labor cost; Other Variable costs; Fixed cost) except material cost because in Throughput Accounting material cost is considered to be Variable (upon which our decision-making depends) and other costs are considered to be Fixed.
While Factory hours is the Total Time available (ie. Bottleneck hours) for the factory to be working those hours?
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