September 2020

The same is true for direct labour, as management knows how many units will be manufactured and how many hours of direct labour are needed. The necessary hours of direct labour and the estimated labour rate are used to develop the direct labour budget. While the materials and labour are determined from the production budget, […]

Deferred expenses are expenses that have been incurred but have not yet been paid. For example, if a company has received services but has not yet paid for them, the company would record a deferred expense entry. Debits will equal credits (unless something is terribly wrong with your system). A nominal account is an account