the cost of a manufactured product generally consists of which of the following costs A. direct materials and factory overhead costs only B. direct labor cost and factory overhead costs only C. direct labor cost, direct materials cost, and factory overhead cost D.direct materials cost an direct labor cost only

C. direct labor cost, direct materials cost, and factory overhead cost More test answers on https://studyhippo.com/accounting-ch-18-handout/

Which of the following positions would have salaries or wages that are classified as a direct labor cost by a baking company?

Baker. More test answers on https://studyhippo.com/acct-final-56713/

Standard direct labor cost per unit

Standard direct labor price x standard direct labor hours. More test answers on https://studyhippo.com/accounting-ii-chapter-23/

the cost of wages paid to employees directly involved in the manufacturing process in converting materials into finished products is classified as A. factory overhead B.direct labor cost C. miscellaneous costs D. direct materials costs

B.direct labor cost More test answers on https://studyhippo.com/accounting-ch-18-handout/

Direct labor cost is an example of a period cost.

False More test answers on https://studyhippo.com/acct-211-chapter-19-not-graded/

If the cost of direct materials is a small portion of total production cost, it may be classified as part of: If the cost of direct materials is a small portion of total production cost, it may be classified as part of: a. direct labor cost b. selling and administrative costs c. miscellaneous costs

factory overhead cost More test answers on https://studyhippo.com/bsm-310-chapter-16-study-guide/

Marquis Company estimates that annual manufacturing overhead costs will be $884,000. Estimated annual operating activity bases are direct labor cost $461,000, direct labor hours 46,000, and machine hours 101,000. Compute the predetermined overhead rate for each activity base.

Overhead rate per direct labor cost 191.75% Overhead rate per direct labor hour 19.21 Overhead rate per machine hour 8.75 divide each operating activity cost by manufacturing overhead cost More test answers on https://studyhippo.com/ch-15-wiley-29236/

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Direct Labor Cost Flashcards, test questions and answers

Discover flashcards, test exam answers, and assignments to help you learn more about Direct Labor Cost and other subjects. Don’t miss the chance to use them for more effective college education. Use our database of questions and answers on Direct Labor Cost and get quick solutions for your test.

What is Direct Labor Cost?

Direct labor cost is the cost of wages paid for any employee who performs direct labor. Direct labor costs are variable costs, meaning they fluctuate over time based on production volume and workforce size. This type of expense is typically seen in manufacturing processes as well as with personal services such as hair styling or physical therapy.Direct labor costs can be broken down into two main components: wages and benefits. Wages are the base amount received by employees for their work, while benefits include compensation such as health insurance, vacation pay, and retirement contributions. In addition to these two components, employers may also factor in taxes like FICA and Social Security taxes associated with the wages paid to their employees. The total direct labor cost can be calculated by adding up all individual wage amounts plus any additional benefits that have been included in the calculation (such as vacation days). The final figure will represent the total expenditure associated with each worker’s salary package or employment contract. Direct labor costs can have a significant impact on a business’s bottom line due to its variable nature: if demand for a product or service increases, so too does direct labor costunless efficiency measures are taken to decrease the number of hours needed to produce the same result. To keep this type of expense under control, companies should strive for a balance between using efficient production methods and ensuring workers receive adequate compensation for their efforts. Additionally, businesses should consider implementing an incentive program that rewards productivity increases while still controlling overall personnel expenses.