Suppose That Homemakers Are Included as Employed in the Labor

question 159

Multiple Choice

Suppose that homemakers are included as employed in the labor force statistics,rather than being counted as out of the labor force.This would

• A)increase the measured unemployment rate.
• B)increase the measured labor force participation rate.
• C)decrease the number of persons in the labor force.
• D)decrease the number of persons in the working-age population.

---

Definitions:

Fixed Manufacturing Overhead

The portion of manufacturing overhead costs that do not vary with production volume, such as rent and salaries of supervisors.

Direct Labor Variances

The difference between the actual labor costs incurred and the standard labor costs for the actual production level.

Direct Labor

Refers to the wages paid to workers who are directly involved in the production of goods or services.

Fixed Overhead Budget Variance

The difference between the actual fixed overhead costs incurred and the budgeted or expected costs, indicating overhead management effectiveness.