Employee cost should reflect the total cost to the company for compensating employees for their services and also for retaining them. Therefore, employee cost includes both monetary and non-monetary benefits. Employee cost does not include the cost of recruiting and training employees. Examples of monetary benefits are basic salary and dearness pay/allowance; overtime pay; productivity, and profit sharing bonus; house [...]
Manufacturing overheads form part of the product cost. Accounting for manufacturing overheads aims to equitably assign overheads to units produced during a period. Overheads for a period are aggregated and then assigned to units produced using a method that reasonably captures the demand of the units on resources represented by overheads. Usually, an average rate per unit is calculated and [...]
Employee Turnover Rate: Employee turnover refers to the change in the labour force during a specified period. Various methods are used to measure the labour turnover rate. The following are the popular methods for measuring employee turnover rate: Causes of Employee Turnover: Causes of employee turnover may be grouped under the following categories: (a) Personal causes (b) Unavoidable causes (c) [...]