When Calculating a Full-Time Equivalent (FTE),which Information Is Needed

question 7

Multiple Choice

When calculating a full-time equivalent (FTE) ,which information is needed?

• A)Productive hours of nursing staff per nursing shift
• B)Amount of time that an employee works during the period of a year
• C)Average number of patients on a nursing unit on any given day
• D)Number of staff who have worked during a 24-hour period

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Definitions:

Direct Labor-Hours

The total hours of labor directly involved in producing goods, often used as a basis for allocating overhead in cost accounting.

Overhead Cost

Refers to ongoing operational expenses that cannot be directly attributed to a specific product or production activity, such as office expenses, rent, and administrative salaries.

Activity-Based Costing

A costing methodology that assigns costs to products or services based on the activities they require for production.

Machine-Hours

A measure of production time using machinery, often used as a basis for allocating manufacturing overhead to products.