DISCUSS the objectives of time keeping & time booking.

Objectives of time keeping and time booking: Time keeping has the following two objectives: (i) Preparation of Payroll: Wage bills are prepared by the payroll department on the basis of information provided by the time keeping department. (ii) Computation of Cost: Labour cost of different jobs, departments or cost centers are computed by costing department on the basis of information provided by the time keeping department. The objectives of time booking are as follows: (i) To ascertain the labour time spent on a job and the idle labour hours. (ii) To ascertain labour cost of various jobs and products. (iii) To calculate the amount of wages and bonus payable under the wage incentive scheme. (iv) To compute and determine overhead rates and absorption of overheads under the labour and machine hour method. (v) To evaluate the performance of labour by comparing actual time booked with standard or budgeted time.