Homework Answers
Non Value added costs are the cost which increase the cost but does not add any valie to the product.
Non Value Added Cost
Retesting = Our Cost - Competotor Cost
479000-225000= 254000
Welding
Cost per hour = 742500/67500= 11
Competitor cost per hour =594000/54000 =11
Non Value added Cost = (67500- 54000)×11 =148500
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Norvalue Added Costs Lemmons Inc. has the following two activities: (1) testing reworked products, cost $479.000....
Nonvalue-Added Costs Lemmons Inc. has the following two activities: (1) Retesting reworked products, cost: $720,000. The...
Nonvalue-Added Costs Lemmons Inc. has the following two activities: (1) Retesting reworked products, cost: $720,000. The retesting cost of the most efficient competitor is $225,000. (2) Welding subassemblies, cost: $1,350,000 (67,500 welding hours). A benchmarking study reveals that the most efficient level for Lemmons would use 54,000 welding hours and entail a cost of $1,080,000. Required: Determine the nonvalue-added cost of each activity. Retesting Welding Nonvalue-added cost: $ $
eBook Show Me How Calculator Nonvalue-Added Costs Lemmons Inc. has the following two activities: (1) Retesting...
eBook Show Me How Calculator Nonvalue-Added Costs Lemmons Inc. has the following two activities: (1) Retesting reworked products, cost: $720,000. The retesting cost of the most efficient competitor is $225,000. (2) Welding subassemblies, cost: $1,350,000 (67,500 welding hours). A benchmarking study reveals that the most efficient level for Lemmons would use 54,000 welding hours and entail a cost of $1,080,000. Required: Determine the nonvalue-added cost of each activity. Welding Retesting $ 480,000 x Nonvalue-added cost: Feedback Check My Work Nonvalue-added...
5.7 Brief Exercise 5-27 Nonvalue Added Costs Lemmons Inc. has the following two activities: (1) Retesting...
5.7 Brief Exercise 5-27 Nonvalue Added Costs Lemmons Inc. has the following two activities: (1) Retesting reworked products, con $720,000. The retesting cost of the most efficient competitor is $225,000. (2) Welding sub assemblies, cost: $1,350,000 (67,500 welding hours). A benchmarking study reveals that the most efficient level for Lemmons would use 54,000 welding hours and entail a cost of $1,080,000. Required: Determine the nonvalue-added cost of each activity.
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CO Wonvalue Added Costs Evans Inc. has the following two activities: (1) Reworking products, cost: $740,000. The reworking cost of the most competitor is $200,000. (2) Purchasing parts, cost: $900,000 (45,000 purchasing hours). A benchmarking study rey efficient level for Evans would use 24,000 purchasing hours and entail a cost of $450,000. Required: Hetermine the nonvalue-added cost of each activity. Reworking Purchasing $ 393,750 x Jonvalue-added cost: $ 5,437,50 X Feedback Check My Work Nonvalue-added costs are caused either by...
Evans Inc. has the following the activities: (1) Reworking products, cost $40,000. The reworking cost of...
Evans Inc. has the following the activities: (1) Reworking products, cost $40,000. The reworking cost of the most efficient similarsired competitor is $200,000. (7) Purchasing parts, cost $100.000 (45.000 purchasing hours) A benchmarking study reveals that the most efficient level for Evans would use 24.000 purchasing hours and entail a cost of $450,000 Required Determine the non -added cost of each activity, Novalutade
eBook Show Me How Calculator Nonvalue-Added Costs Lemmons Inc. has the following two activities: (1) Retesting reworked products, cost: $720,000. The retesting cost of the most efficient competitor is $225,000. (2) Welding subassemblies, cost: $1,350,000 (67,500 welding hours). A benchmarking study reveals that the most efficient level for Lemmons would use 54,000 welding hours and entail a cost of $1,080,000. Required: Determine the nonvalue-added cost of each activity. Welding Retesting $ 480,000 x Nonvalue-added cost: Feedback Check My Work Nonvalue-added...
5.7 Brief Exercise 5-27 Nonvalue Added Costs Lemmons Inc. has the following two activities: (1) Retesting reworked products, con $720,000. The retesting cost of the most efficient competitor is $225,000. (2) Welding sub assemblies, cost: $1,350,000 (67,500 welding hours). A benchmarking study reveals that the most efficient level for Lemmons would use 54,000 welding hours and entail a cost of $1,080,000. Required: Determine the nonvalue-added cost of each activity.
CO Wonvalue Added Costs Evans Inc. has the following two activities: (1) Reworking products, cost: $740,000. The reworking cost of the most competitor is $200,000. (2) Purchasing parts, cost: $900,000 (45,000 purchasing hours). A benchmarking study rey efficient level for Evans would use 24,000 purchasing hours and entail a cost of $450,000. Required: Hetermine the nonvalue-added cost of each activity. Reworking Purchasing $ 393,750 x Jonvalue-added cost: $ 5,437,50 X Feedback Check My Work Nonvalue-added costs are caused either by...
Evans Inc. has the following the activities: (1) Reworking products, cost $40,000. The reworking cost of the most efficient similarsired competitor is $200,000. (7) Purchasing parts, cost $100.000 (45.000 purchasing hours) A benchmarking study reveals that the most efficient level for Evans would use 24.000 purchasing hours and entail a cost of $450,000 Required Determine the non -added cost of each activity, Novalutade
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