The manager of the Personnel Department at City Enterprises has been reading about time-driven ABC and wants to apply it to herdepartment. She has identified four basic activities her employees spend most of the their time on: Interviewing, Hiring, Assessment,and Separation Processing. The department employs 8 staff who perform these activities. The manager provides the followingestimates for the amount of time it takes to complete each of these activities:Interviewing: 95 minutes.• Hiring: 85 minutes.• Assessment: 125 minutes.• Separation Processing: 115 minutes.Employees in Personnel work 34-hour weeks with four weeks for vacation. Of the 34 hours, five are reserved for administrative tasks,training, and so on. The costs of the Personnel Department, including any allocated costs from other staff functions, are $1,503,360.During the year, Personnel conducted 1,250 Interviews, made 400 hires, made 4,000 assessments, and had 350 separations.The manager of the Personnel Department decides that her estimate of the activities might be too simple in two ways. First, the time toInterview depends on the level of the position for which a candidate is sought. She estimates that for a candidate at the manager level,the additional Interviewing time is 170 minutes. (Personnel Department employees only conduct the initial Interview, but theyaccompany the candidate for Interviews by the hiring executive or CEO.) For a candidate at the executive level, the additional time forInterviewing is 485 minutes (in addition to the time required for a manager).The second Issue she identified is that the time for separation processing depends on whether the separation is voluntary. Sheestimates that an involuntary separation requires an additional 305 minutes of personnel time.Required:a. What is the total time required for the interviewing activity?b. What is the total time required for the separation processing activity?c. What is the cost of interviewing a manager? An executive?d. What is the cost of a voluntary separation? An Involuntary separation?Complete this question by entering your answers in the tabs below.Required ARequired B Required C Required DWhat is the total time required for the interviewing activity?ManagerExecutiveminutesminutes< Required ARequired B >

"Since you have asked a question with sub-parts more than three, as per guidelines, the first three…

The manager of the Personnel Department at City Enterprises has been reading about time-driven ABC and wants to apply it to her department. She has identified four basic activities her employees spend most of the their time on: Interviewing, Hiring, Assessment, and Separation Processing. The department employs 8 staff who perform these activities. The manager provides the following estimates for the amount of time it takes to complete each of these activities:

The manager of the Personnel Department at City Enterprises has been reading about time-driven ABC and wants to apply it to her department. She has identified four basic activities her employees spend most of the their time on: Interviewing, Hiring, Assessment, and Separation Processing. The department employs 8 staff who perform these activities. The manager provides the following estimates for the amount of time it takes to complete each of these activities:

Essentials of Business Analytics (MindTap Course List)

2nd Edition

ISBN:9781305627734

Author:Jeffrey D. Camm, James J. Cochran, Michael J. Fry, Jeffrey W. Ohlmann, David R. Anderson

Publisher:Jeffrey D. Camm, James J. Cochran, Michael J. Fry, Jeffrey W. Ohlmann, David R. Anderson

Chapter3: Data Visualization

Section: Chapter Questions

Problem 17P: The Northwest regional manager of Logan Outdoor Equipment Company has conducted a study to determine...

See similar textbooks

Similar questions

The manager of the Personnel Department at City Enterprises has been reading about time-driven ABC and wants to apply it to her department. She has identified four basic activities her employees spend most of the their time on: Interviewing, Hiring, Assessment, and Separation Processing. The department employs 13 staff who perform these activities. The manager provides the following estimates for the amount of time it takes to complete each of these activities: • Interviewing: 53 mìnutes. • Hiring: 68 minutes. • Assessment: 91 minutes. • Separation Processing: 98 minutes. Employees in Personnel work 43-hour weeks with four weeks for vacation. Of the 43 hours, five are reserved for administrative tasks, training, and so on. The costs of the Personnel Department, including any allocated costs from other staff functions, are $980,000. During the year, Personnel conducted 2,000 interviews, made 535 hies, made 4,600 assessments, ond had 290 separations. Required: a. What is the cost per…
The manager of the Personnel Department at City Enterprises has been reading about time-driven ABC and wants to apply it to her department. She has identified four basic activities her employees spend most of the their time on: Interviewing, Hiring, Assessment, and Separation Processing. The department employs five staff who perform these activities. The manager provides the following estimates for the amount of time it takes to complete each of these activities: Interviewing: 45 minutes. Hiring: 60 minutes. Assessment: 75 minutes. Separation Processing: 90 minutes. Employees in Personnel work 35-hour weeks with four weeks for vacation. Of the 35 hours, five are reserved for administrative tasks, training, and so on. The costs of the Personnel Department, including any allocated costs from other staff functions, are $972,000. During the year, Personnel conducted 1,200 interviews, made 375 hires, made 3,000 assessments, and had 250 separations. Required: a. What is the…
Thayne Company has 30 clerks that work in its Accounts Payable Department. A study revealed the following activities and the relative time demanded by each activity: Required: Classify the four activities as value-added or non-value-added, and calculate the clerical cost of each activity. For non-value-added activities, indicate why they are non-value-added.
Joseph Fox, controller of Thorpe Company, has been in charge of a project to install an activity-based cost management system. This new system is designed to support the companys efforts to become more competitive. For the past six weeks, he and the project committee members have been identifying and defining activities, associating workers with activities, and assessing the time and resources consumed by individual activities. Now, he and the project committee are focusing on three additional implementation issues: (1) identifying activity drivers, (2) assessing value content, and (3) identifying cost drivers (root causes). Joseph has assigned a committee member the responsibilities of assessing the value content of five activities, choosing a suitable activity driver for each activity, and identifying the possible root causes of the activities. Following are the five activities with possible activity drivers: The committee member ran a regression analysis for each potential activity driver, using the method of least squares to estimate the variable and fixed cost components. In all five cases, costs were highly correlated with the potential drivers. Thus, all drivers appeared to be good candidates for assigning costs to products. The company plans to reward production managers for reducing product costs. Required: 1. What is the difference between an activity driver and a cost driver? In answering the question, describe the purpose of each type of driver. 2. For each activity, assess the value content and classify each activity as value-added or non-value-added (justify the classification). Identify some possible root causes of each activity, and describe how this knowledge can be used to improve activity performance. For purposes of discussion, assume that the value-added activities are not performed with perfect efficiency. 3. Describe the behavior that each activity driver will encourage, and evaluate the suitability of that behavior for the companys objective of becoming more competitive.
Big Mikes, a large hardware store, has gathered data on its overhead activities and associated costs for the past 10 months. Nizam Sanjay, a member of the controllers department, believes that overhead activities and costs should be classified into groups that have the same driver. He has decided that unloading incoming goods, counting goods, and inspecting goods can be grouped together as a more general receiving activity, since these three activities are all driven by the number of receiving orders. The 10 months of data shown below have been gathered for the receiving activity. Required: 1. Prepare a scattergraph, plotting the receiving costs against the number of purchase orders. Use the vertical axis for costs and the horizontal axis for orders. 2. Select two points that make the best fit, and compute a cost formula for receiving costs. 3. Using the high-low method, prepare a cost formula for the receiving activity. 4. Using the method of least squares, prepare a cost formula for the receiving activity. What is the coefficient of determination?
The Clark County Sheriff’s Department schedules police officers for 8-hour shifts. The beginning times for the shifts are 8:00 a.m., noon, 4:00 p.m., 8:00 p.m., midnight, and 4:00 a.m. An officer beginning a shift at one of these times works for the next 8 hours. During normal weekday operations, the number of officers needed varies depending on the time of day. The department staffing guidelines require the following minimum number of officers on duty: Determine the number of police officers that should be scheduled to begin the 8-hour shifts at each of the six times to minimize the total number of officers required. (Hint: Let x1 = the number of officers beginning work at 8:00 a.m., x2 = the number of officers beginning work at noon, and so on.)
Corazon Manufacturing Company has a purchasing department staffed by five purchasing agents. Each agent is paid 28,000 per year and is able to process 4,000 purchase orders. Last year, 17,800 purchase orders were processed by the five agents. Required: 1. Calculate the activity rate per purchase order. 2. Calculate, in terms of purchase orders, the: a. total activity availability b. unused capacity 3. Calculate the dollar cost of: a. total activity availability b. unused capacity 4. Express total activity availability in terms of activity capacity used and unused capacity. 5. What if one of the purchasing agents agreed to work half time for 14,000? How many purchase orders could be processed by four and a half purchasing agents? What would unused capacity be in purchase orders?
CodeHead Software Inc. does software development. One important activity in software development is writing software code. The manager of the WordPro Development Team determined that the average software programmer could write 25 lines of code in an hour. The plan for the first week in May called for 4,650 lines of code to be written on the WordPro product. The WordPro Team has five programmers. Each programmer is hired from an employment firm that requires temporary employees to be hired for a minimum of a 40-hour week. Programmers are paid 32.00 per hour. The manager offered a bonus if the team could generate more lines for the week, without overtime. Due to a project emergency, the programmers wrote more code in the first week of May than planned. The actual amount of code written in the first week of May was 5,650 lines, without overtime. As a result, the bonus caused the average programmers hourly rate to increase to 40.00 per hour during the first week in May. Instructions 1. If the team generated 4,650 lines of code according to the original plan, what would have been the labor time variance? 2. What was the actual labor time variance as a result of generating 5,650 lines of code? 3. What was the labor rate variance as a result of the bonus? 4. The manager is trying to determine if a better decision would have been to hire a temporary programmer to meet the higher programming demand in the first week of May, rather than paying out the bonus. If another employee was hired from the employment firm, what would have been the labor time variance in the first week? 5. Which decision is better, paying the bonus or hiring another programmer?
The Northwest regional manager of Logan Outdoor Equipment Company has conducted a study to determine how her store managers are allocating their time. A study was undertaken over three weeks that collected the following data related to the percentage of time each store manager spent on the tasks of attending required meetings, preparing business reports, customer interaction, and being idle. The results of the data collection appear in the following table: a. Create a stacked-bar chart with locations along the vertical axis. Reformat the bar chart to best display these data by adding axis labels, a chart title, and so on. b. Create a clustered-bar chart with locations along the vertical axis and clusters of tasks. Reformat the bar chart to best display these data by adding axis labels, a chart title, and the like. c. Create multiple bar charts in which each location becomes a single bar chart showing the percentage of time spent on tasks. Reformat the bar charts to best display these data by adding axis labels, a chart title, and so forth. d. Which form of bar chart (stacked, clustered, or multiple) is preferable for these data? Why? e. What can we infer about the differences among how store managers are allocating their time at the different locations?
Zainab is the head of production department in a textile unit. She has given a target about the number of items that will be produced in a month. She has also allocated number of workers and hours to achieve the target. This scenario represents which step in control process Select one: O a. Taking corrective action b. Establishing standards O c. Comparison of actual with standards O d. Measuring performance
Top management at Reisener Corporation are looking to improve productivity in corporate staff functions. One area targeted for the initiative is the Human Resources (HR) department. The following data were collected for three relatively routine actions for the most recent period: hiring, separations, and transfers (within Reisner facilities). Staff-hours Personnel actions completed Action Hiring Separations Transfers Hiring 3,500 110 Required: a. Compute the partial productivity measures for labor for the three actions. Note: Round your answers to 3 decimal places. Partial Labor Productivity Separations 2,700 62 Transfers 3,900 110
Hobart, Evans, and Nix is a small law firm that contains 10 partners and 12 support persons. The firm employs a job-order costing system to accumulate costs chargeable to each client, and it is organized into two departments - the Research and Documents Department and the Litigation Department. The firm uses predetermined overhead rates to charge the costs of these departments to its clients. At the beginning of the year, the firm's management made the following estimates for the year:Department Research and Documents Litigation Research-hours 31,000 — Direct attorney-hours 11,800 23,400 Legal forms and supplies £ 21,100 £ 6,700 Direct lawyer cost 593,300 1,186,700 Departmental overhead cost 930,000 474,680 The predetermined overhead rate in the Research and Documents Department is based on research-hours, and the rate in the Litigation Department is based on direct lawyer cost.The costs charged to each client are made up of three elements: legal forms and supplies used, direct lawyer…