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Q: Is a factory foreman included in direct labor?
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Is factory manager wages direct labor costs?

Factory manager is not directly related to the production of units of product so it is not direct labor cost but it is included in overhead costs.


What is direct factory labor?

Factory direct labor is that workforce which is directly involve in production of goods like daily wages workers or skilled labor etc.


Define prime cost?

Direct Material Direct Labor direct Factory Overhead


Is direct labor used as part of the factory overhead?

Direct labor is not part of factory overhead while indirect labor is part of overhead as these labor expenses could not be calculated directly like factory supervisor salary or line manager salary etc.


Who is direct labor?

The factory workers who directly involve in production of goods is direct labor which cost is also separately identifiable.


What is direct labor expense?

Direct labor expense is that amount which is paid to workers who are involved in production of goods in factory and their salary or wages are part of it.


What is direct labor?

Direct labor is that workers cost which directly involve in production of goods like factory workers or furniture maker etc.


Is Direct Labor included in Overhead costs?

Direct labor are not part of overhead costs and shown separately while indirect labor are part of overhead costs and included in overhead cost because those labor cannot be allocated separately or identifiable separately.


Is maintenance direct labor?

Maintenance is not direct labor rather it is part of factory overheads if maintenance is only for those items involve in production of goods.


What is the prime cost of an item which has material cost of 9 labor cost of 4 direct expenses of 3 and factory overhead of 2?

Prime cost is defined as the total of materials and labor that goes into making a finished/completed product. Material = 9 Labor = 4 9 + 4 = 13. Overhead is considered a conversion cost, so not included in the calculation. Direct expenses are not well explained, so not included in calculation.


Who is labor?

The factory workers who directly involve in production of goods is direct labor which cost is also separately identifiable.


Does prime cost plus conversion cost equal the cost of manufacturing?

Total Manufacturing Cost = Direct Material + Direct Labor + Factory Overheads Prime Cost = Direct material + Direct Labor Conversion Cost = Direct Labor + Factory Overhead So yes prime cost and conversion cost is equal to total manufacturing cost