COGS or Variable Cost, purely an accounting classification with little real world consequences. Most likely running costs that have not been apportioned directly to the product being sold, e.g. water consumption, sewage treatment, trucking... all variable cost that are hard to apportion directly to a production line unless they have very sophisticated instruments and accounting practices.
I once worked on an improvement project in which we installed loads of water flow meters to convert just "Variable Cost" into COGS (because COGS was charged backed to the client).
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