AAT Level 3 - CSTR - labour Costs Exam questions ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//||
with verified answers ||\\//|| ||\\//||
Remuneration systems - correct answer✔✔1. Annual salaries ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//||
2. Hourly rates of pay and overtime pay
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3. Piecework payments
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4. Bonus schemes
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Hourly rates and overtime payments - correct answer✔✔1. Hourly paid workers have a
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standard number of hours they work per week ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//||
2. Overtime payment - total amount paid for hours worked above the normal number of
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hours
3. Overtime premium - the extra paid above the normal rate for those overtime hours
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4. Premium may be classified separately from the overtime hours at basic rates
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5. Overtime for general pressure of workload - indirect labour cost
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6. Overtime for specific customer request - direct labour cost
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Piecework payments - correct answer✔✔1. Employee is paid by unit of output ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//||
2. Based upon the standard time per unit - payment by results
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3. Produces a constant labour cost per unit
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4. Encourages efficient work
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5. A differential piecework system may be implemented whereby the piece rate is increased
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for higher output levels
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6. Employees lack security of income
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7. Employees can be penalised for low levels of production due to factors outside of his/her
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control (machinery breakdown) ||\\//|| ||\\//||
with verified answers ||\\//|| ||\\//||
Remuneration systems - correct answer✔✔1. Annual salaries ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//||
2. Hourly rates of pay and overtime pay
||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//||
3. Piecework payments
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4. Bonus schemes
||\\//|| ||\\//||
Hourly rates and overtime payments - correct answer✔✔1. Hourly paid workers have a
||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//||
standard number of hours they work per week ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//||
2. Overtime payment - total amount paid for hours worked above the normal number of
||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//||
hours
3. Overtime premium - the extra paid above the normal rate for those overtime hours
||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//||
4. Premium may be classified separately from the overtime hours at basic rates
||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//||
5. Overtime for general pressure of workload - indirect labour cost
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6. Overtime for specific customer request - direct labour cost
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Piecework payments - correct answer✔✔1. Employee is paid by unit of output ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//||
2. Based upon the standard time per unit - payment by results
||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//||
3. Produces a constant labour cost per unit
||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//||
4. Encourages efficient work
||\\//|| ||\\//|| ||\\//||
5. A differential piecework system may be implemented whereby the piece rate is increased
||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//||
for higher output levels
||\\//|| ||\\//|| ||\\//||
6. Employees lack security of income
||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//||
7. Employees can be penalised for low levels of production due to factors outside of his/her
||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//|| ||\\//||
control (machinery breakdown) ||\\//|| ||\\//||
