Idle time arises when workers are paid for time during which:
AMaterials are reused
BProduction exceeds standard
CNo production takes place
DOutput is rejected
Answer & Solution
Correct answer: C. No production takes place
1. Idle time is the period for which the worker is paid but produces no output.
2. It may be normal (e.g. tea break) or abnormal (e.g. machine breakdown).
3. The defining feature is payment without production during that interval.
4. Production above standard or rejection of output do not describe idle time.
_Source: ICAI BoS Inter Paper 3, Ch 3 "Employee Cost", §3.4 ¶1_
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