What does reconciliation of time attended and time booked tell us?

What does reconciliation of time attended and time booked tell us?


If the company is maintaining a system of time card and job card, the problem of reconciliation becomes simple as both the details are on the same card. If the time booked as per the job cards is less than the attendance time, this shows the idle time during which the worker has not done any work, though he was present in the factory. Thus, reconciliation of time attended and time booked tells us the actual amount of work done by the worker in comparison with the number of hours spent by him in the factory.
What are the usual internal control problems in labour cost?
Excess staffing, Lack of experienced and efficient personnel, Idle time or unusual overtime wages…
What is idle time? How are its causes classified?
Idle time indicates that time for which wages are paid to the workers but no production is obtained during that time….
How is the cost of idle time calculated?
If the idle time payment is normal and controllable: it should be classified as overheads …
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FINANCIAL ACCOUNTING
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REVANASIDDAPPA 01-15-2017