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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.

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Q: Is factory manager wages direct labor costs?
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Short note on direct cost and indirect cost?

Direct Cost:These are all those costs which directly related and allocatable to manufacturing of units of products like direct material (raw meterial), Direct labor (Salaries or wages of workforce) etc.Indirect Cost:These are those costs which are not directly allocatable to manufacturing of units of products like salary of line manager in factory or supervisors salary etc.


What is an example of how a standard cost is established?

in a factory that produces personal computers, standard costs are often used for direct materials, direct labor, and variable overhead, at the unit level. Resource usage that can be traced exactly to what is to be produced is referred to as direct.


How do you compute predetermined overhead rate as a percentage of direct labor costs and direct labor hours?

Predetermined overhead rate based on direct labor cost = Budgeted overhead cost / direct labor cost / 100 Predetermined overhead rate based on direct labor cost = budgeted overhead cost / direct labor hours.


The direct labor and overhead costs of providing services to clients are accumulated in?

work in process


Abel companys manufacturing overhead is 20 percent of its total conversion costs If direct labor is 38000 and if direct material are 47000 the manufacturing overhead is?

Well, honey, if manufacturing overhead is 20% of total conversion costs, and direct labor is $38,000 and direct materials are $47,000, then total conversion costs would be $38,000 + $47,000 = $85,000. So, if manufacturing overhead is 20% of that, it would be 0.20 x $85,000 = $17,000. So, the manufacturing overhead would be $17,000.