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List and Briefly Discuss the Two Basic Components of a Computerized

question 153

Essay

List and briefly discuss the two basic components of a computerized accounting information system.


Definitions:

Direct Labour Hours

The total amount of time spent by workers directly involved in the production process, contributing to the manufacturing of a product.

Standard Wage Rate

The predetermined rate of pay for a specific task or job, often used in manufacturing to set baseline labor costs.

Total Material Variance

The difference between the actual material costs incurred and the expected (standard) costs, reflecting efficiency in material usage.

Direct Material Standards

The predetermined cost and quantity of raw materials that should be used in the production of a single unit of product under normal operating conditions.

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