What does the term "billable time" mean as it pertains to payroll accounting?
A)It is employee labor that may be billed to customers.
B)It is employee labor that does not pertain to labor on customer jobs.
C)It is non-employee labor that the company must pay.
D)It is non-traceable labor that a company must absorb as overhead.

Question

Quizplus · Accepted Answer

"Billable time" refers to hours worked by an employee that can be charged to a customer or client for a specific project or job. These hours are typically tracked and recorded separately from non-billable time, such as vacation or administrative tasks. This is important for payroll accounting because it helps managers determine the profitability of specific projects or clients, and ensure that employees are being paid correctly for their billable time.

What Does the Term "Billable Time" Mean as It Pertains