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manonvsb manonvsb
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A year ago
Actual direct labor costs may differ from the flexible budget amounts because

▸ employees always operate at the desired efficiency level.

▸ the company may set a standard wage rate, and the market forces may require a change in that rate.

▸ the labor contract may require a higher wage rate than what the company is paying.

▸ employees may be compensated based on the number of units produced.
Textbook 
Managerial Accounting

Managerial Accounting


Edition: 4th
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bodie1980bodie1980
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