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Managerial accounting assignment 101. Indirect workers can be grouped for facilitating the introduction of a suitable incentive scheme. Indirect workers can be associated with direct

Managerial accounting assignment 101. Indirect workers can be grouped for facilitating the introduction of a suitable incentive scheme. Indirect workers can be associated with direct workers, e.g., supervisor, material handling workers, internal transport workers, etc. Bonus in this case, can be linked to the output of direct workers as they help to increase the production. The bonus can be a percentage of the average bonus earned by direct workers. Indirect workers provide some general services, e.g., canteen staff, cleaners, etc. Their bonus can be based on the output of a department, output of the entire organisation, merit rating, job evaluation, percentage of bonus for direct workers or high time-rates

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