As Production Becomes More Automated,direct Labor May Be Viewed More

question 129

True/False

As production becomes more automated,direct labor may be viewed more as a conversion cost than as a prime cost.

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Definitions:

Financial Statement

A summary report that quantitatively describes the financial health of a company, including balance sheets, income statements, and cash flow statements.

Accounts

Records that summarize financial transactions pertaining to a business entity’s assets, liabilities, equity, revenues, and expenses.

Increases and Decreases

Terms used to describe the upward and downward movements in financial and non-financial metrics within business operations.

T Account

The simplest form of an account.