Direct Labour Cost
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MS: Kos Buruh Langsung · EN: Direct Labour Cost · ZH: 直接人工成本
Meaning
Direct labour cost is the wages paid to workers who are directly involved in converting raw materials into finished goods. It can be traced to specific units of output. Together with direct material cost, it forms prime cost in the Manufacturing Account.
Example
Melur Shoe Factory pays RM15,000 to the stitchers who sew the shoes. This wage is a direct labour cost because the workers are directly involved in production, and it is recorded within prime cost.
Source: DSKP KSSM Prinsip Perakaunan Tingkatan 5