Seabrook and Clauss is an architectural firm that is contemplating the installation of activity-based costing. The following

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Seabrook and Clauss is an architectural firm that is contemplating the installation of activity-based costing. The following activities are performed daily by staff architects. Classify these activities as value-added or non-value-added:
(1) Designing and drafting, 3 hours;
(2) Staff meetings, 1 hour;
(3) On-Site supervision, 2 hours;
(4) Lunch, 1 hour;
(5) Consultation with client on specifications, 1.5 hours;
(6) Entertaining a prospective client for dinner, 2 hours.

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Managerial Accounting Tools for business decision making

ISBN: 978-0470477144

5th edition

Authors: Jerry J. Weygandt, Paul D. Kimmel, Donald E. Kieso

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