A factory foreman is typically not classified as direct labor. Direct labor refers to the workers directly involved in the production of goods, such as assembly line workers or machine operators. Instead, a foreman is usually considered part of indirect labor, as their role focuses on supervising and coordinating the workforce rather than directly contributing to the physical production process.
Factory direct labor is that workforce which is directly involve in production of goods like daily wages workers or skilled labor etc.
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.
The factory workers who directly involve in production of goods is direct labor which cost is also separately identifiable.
Direct labor is that workers cost which directly involve in production of goods like factory workers or furniture maker etc.
Maintenance is not direct labor rather it is part of factory overheads if maintenance is only for those items involve in production of goods.
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.
Factory direct labor is that workforce which is directly involve in production of goods like daily wages workers or skilled labor etc.
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.
Direct Material Direct Labor direct Factory Overhead
The factory workers who directly involve in production of goods is direct labor which cost is also separately identifiable.
Direct labor is that workers cost which directly involve in production of goods like factory workers or furniture maker etc.
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.
Maintenance is not direct labor rather it is part of factory overheads if maintenance is only for those items involve in production of goods.
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.
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.
The factory workers who directly involve in production of goods is direct labor which cost is also separately identifiable.
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