Direct labor is labor that directly interacts with customers in the service industry. For instance, waitresses are considered direct labor.
Direct labor for service company is the salary or wage cost of the person who is performing the services like in software industry the salary of software engineer is direct labor cost as well as the technical lead etc.
Define direct and indirect labour?"
Direct labor which do not vary with level of production is fixed direct labor while labor vary with change in production is variable direct labor.
Average direct labor cost is the opening direct labor cost + closing direct labor cost / 2
Direct material is material that is contained in the final product. Direct labor is labor that ultimately forms the final product.
Direct labor for service company is the salary or wage cost of the person who is performing the services like in software industry the salary of software engineer is direct labor cost as well as the technical lead etc.
In services industries there is no raw material so only direct labor is part of prime cost in services industry.
In labor intensive industry direct labor cost is used as cost driver.
The correct answer is the service industry. An increase in the service industry created a decline in labor union membership.
Define direct and indirect labour?"
cost of direct material, direct labor, and other overhead items devoted to the production of a good or service.
Direct labor which do not vary with level of production is fixed direct labor while labor vary with change in production is variable direct labor.
In the food service industry, under production refers to a state of less labor than the present demand. As such, customers do not get to enjoy as much as they wanted.
Average direct labor cost is the opening direct labor cost + closing direct labor cost / 2
Direct material is material that is contained in the final product. Direct labor is labor that ultimately forms the final product.
Direct labor budget tells the management that how much direct labor is required to finish the production of units.
direct labor is direct cost attributable to production of goods.