Average Labour Productivity Is Computed as the

question 2

Multiple Choice

Average labour productivity is computed as the

• A) ratio of industrial production to the employment rate.
• B) ratio of real output in manufacturing to the level of real GDP.
• C) ratio of real GDP to the unemployment rate.
• D) ratio of real GDP to the level of employment.
• E) ratio of labour input to real GDP.

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Definitions:

Direct Labor-Hours

The total hours worked by employees directly involved in the manufacturing process, directly affecting the production of goods.

Direct Materials Cost

The cost of raw materials that can be directly traced to the production of a specific product.

Activity-Based Costing

A costing method that assigns overhead and indirect costs to specific activities related to production, providing more accurate product costing.

Direct Labor-Hours

The total hours worked by employees directly involved in the manufacturing process, serving as a basis for assigning labor costs to products.