Indirect costs, such as utilities ... and exclude fixed costs. The formula for calculating prime cost is: Prime Cost = Raw ...

Per the University's F&A rate agreement with the Department of Health and Human Services, F&A costs are to be calculated on modified total direct costs which consist of the following: All salaries and ...

To calculate the rate of overhead, divide the indirect costs by the allocation measure you're using. So, the denominator in your formula may be the total number of direct labor hours involved.