what might lead to an adverse labour efficiency ratio
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Explanation:
Reasons for adverse labor efficiency variances may include: Hiring of lower skilled labor than the standard (this should be reflected in a favorable labor rate variance). Lower learning curve achieved during the period than anticipated in the standard. Decrease in staff morale and motivation.
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Answer:
Reasons for adverse labor efficiency variances may include: Hiring of lower skilled labor than the standard (this should be reflected in a favorable labor rate variance). Lower learning curve achieved during the period than anticipated in the standard. Decrease in staff morale and motivation.
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