In process costing, direct labor includes only the labor that is applied directly to individual units of product.

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In process costing, direct labor includes all labor that is used in the production process, both direct and indirect. Direct labor refers to labor that can be easily traced to specific units of product, while indirect labor refers to labor that is necessary for the production process but cannot be easily traced to specific units of product.

In Process Costing, Direct Labor Includes Only the Labor That