Manufacture cost

Manufacturing Costs Manufacturing costs refer to all the expenses involved in producing goods from raw materials to finished products. These costs typically include raw materials, direct labor, and manufacturing overhead such as electricity, equipment maintenance, factory rent, and quality control. Understanding manufacturing costs is important because it helps businesses set accurate product prices, control spending, improve efficiency, and maximize profit. When manufacturing costs are well managed, a company can produce high-quality goods at competitive prices while maintaining sustainable operations.