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BUS 630 Week 2 DQ 2 Direct Labor Variable or Fixed Cost

BUS 630 Week 2 DQ 2 Direct Labor Variable or Fixed Cost

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Author: Lester Dunn
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http://www.homeworkrank.com/BUS-630/BUS-630-Week-2-DQ-2-Direct-Labor-Variable-or-Fixed-Cost


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Throughout the corporate world, businesses are transforming labor into a more flexible (and variable) cost.  Among such companies are Hewlett-Packard, General Electric, DuPont, Sun Microsystems, and British Airways.  Discuss whether direct labor is a fixed or a variable cost.  What are the pros and cons of management treating direct labor as a variable cost?  Are there ethical issues to be considered here?  

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