Question

Lindwood Company manufactures coffee cups in several different sizes and has identified the following activities in its manufacturing process:
• Storing inventory
• Creating molds
• Pouring plaster
• Firing pots in kiln
• Sanding and finishing
• Painting
• Performing quality control
• Ordering materials
• Delivering an order to a large customer such as Home Depot
• Insuring the manufacturing facility
• Reconfiguring machinery between batches

Required:
1. Classify each activity listed as facility, product, batch, or unit level.
2. Identify a cost driver for each activity listed.
3. Indicate whether each activity is value-added or non-value-added.



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  • CreatedFebruary 27, 2015
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