Direct cost, indirect cost

Japanese: 直接費･間接費 - ちょくせつひかんせつひ（英語表記）direct cost,indirect cost

Cost elements that can be directly recognized as having occurred in relation to the production or sale of a certain unit of production are called direct costs, while cost elements that cannot be recognized as having occurred in relation to the production or sale of a certain unit of production are called indirect costs. Direct costs (also called direct costs) are divided into direct manufacturing costs and direct selling costs, and indirect costs are also divided into manufacturing overhead costs (depreciation, fire insurance premiums, etc.) and selling overhead costs (advertising and promotional costs, transportation costs, etc.). The distinction between direct costs and indirect costs used to be based on calculation procedures. However, nowadays, due to the division of production organizations and the automation and equipment of production processes, the distinction between direct costs and indirect costs is based on the form in which costs for production are incurred from the perspective of business management.

Source: Heibonsha World Encyclopedia, 2nd Edition Information

Japanese:

一定単位の給付の製造または販売に関して発生したことが直接的に認識できる原価要素を直接費といい，そうでない原価要素を間接費という。直接費(直接原価ともいう)は製造直接費と販売直接費に分かれ，間接費も製造間接費(減価償却費，火災保険料など)と販売間接費(広告宣伝費，運搬費など)に分かれる。直接費と間接費の区別はかつては計算手続によっていた。しかし現在では，生産組織の部門化や生産工程の自動化･装置化により，直接費と間接費の区別は経営管理の点から給付に対する原価の発生形態によっている。

出典　株式会社平凡社世界大百科事典第２版について　情報

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