Which of the following is an example of direct labor cost for an airplane manufacturer?
A) Cost of oil lubricants for factory machinery
B) Cost of wages of assembly worker
C) Salary of plant supervisor
D) Cost of jet engines

Question

Quizplus · Accepted Answer

Direct labor cost refers to the cost of wages, salaries, and fringe benefits paid to workers directly involved in the production process. The assembly worker is directly involved in the production process of airplanes, so their wages would be a direct labor cost. The other options listed are not examples of direct labor costs as they do not directly relate to the production process of the airplane.

Which of the Following Is an Example of Direct Labor