Schedule of Activity Costs Quality Control Activities Activity Cost Process audits $50,400     Training of machine operators 26,300     Processing returned products 15,700     Scrap processing (disposal) 24,100     Rework 7,500     Preventative maintenance 28,800     Product design 44,900     Warranty work 9,400     Finished goods inspection 22,300     From the provided schedule of activity costs, determine the non-value-added costs. a.$114,500 b.$56,700 c.$229,400 d.$47,300

Financial And Managerial Accounting
15th Edition
ISBN:9781337902663
Author:WARREN, Carl S.
Publisher:WARREN, Carl S.
Chapter27: Lean Manufacturing And Activity Analysis
Section: Chapter Questions
Problem 18E: Cost of quality and value-added/non-value-added reports for a service company A. Using the...
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Schedule of Activity Costs
Quality Control Activities Activity Cost
Process audits $50,400    
Training of machine operators 26,300    
Processing returned products 15,700    
Scrap processing (disposal) 24,100    
Rework 7,500    
Preventative maintenance 28,800    
Product design 44,900    
Warranty work 9,400    
Finished goods inspection 22,300    

From the provided schedule of activity costs, determine the non-value-added costs.

a.$114,500
b.$56,700
c.$229,400
d.$47,300
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