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Chapter 6

Accounting for Labour

Outcome

By the end of this session you should be able to:

 calculate direct and indirect costs of labour

 explain the methods used to relate input labour costs to work done

 prepare the journal and ledge entries to record labour costs inputs and outputs

 interpret entries in the labour account

 describe different remuneration methods: time-based systems; piecework
systems and individual and group incentive schemes

 calculate the level, and analyse the costs and causes of labour turnover

 explain and calculate labour efficiency, capacity and production volume ratios

and answer questions relating to these areas.

The underpinning detail for this Chapter in your Notes can be found in
Chapter 6 of your Study Text

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