The one of the following best describes direct labor a prime cost.
Direct labor, often known as "productive labor," is the work done by employees who handle and manipulate various materials by hand or with the aid of equipment.
Any employee who works directly on a product's production process is referred to as direct labor. If your company manufactures bicycles, the bicycles are made by the employees, who are regarded as direct labor. Direct labor includes people who work as assemblers, welders, painters, and machine operators.
Examples of direct costs include labor and supplies. Direct expenses can also be fixed expenses, even though they are normally variable expenses. For instance, a factory's rent may be directly related to its capacity for production.
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