chapter07 labour costs劳动成本（(含答案)）.pdfVIP

Chapter07 Labor costs Priority = High Exam Guidance You will be expected to illustrate different remuneration policy and incentive schemes. Their characteristics must be always in your mind. And you must be familiar with the computation of total pay of employee. You will also need to be aware of the procedures and documents required for recording labour costs. 1. Measuring labour activity 1.1 Corresponding concepts 1.1.1 Production is the quantity or volume of output produced. 1.1.2 Productivity is a measure of the efficiency with which output has been produced. It is also called efficiency ratio. Productivity/ Expected hours Ratio 100% : efficient labour = efficiency ratio Ratio 100%: inefficient labour Actual hours Example: Actual output Suppose that an employee is expected to produce 3 units in = every hour that he works. The standard rate of productivity is Expected output 3 units per hour. If, during one week, the employee makes 126 1 / 37 units in 40 hours of work the following comments can be made. 1.1.3 Standard hour of production is a concept used in standard costing, and means the number of units that can be produced by one worker working in the standard way at the standard rate for one hour. Standard hour Budgeted output of production = 1.1.4 Production volume ratio Budgeted hours Production