Cost Report, Value-Added and Non-Value-Added Costs Sanford, Inc., has developed value-added standards for four activities: purchasing parts, receiving parts, moving parts, and setting up equipment. The activities, the activity drivers, the standard and actual quantities, and the price standards for 20x1 are as follows: Activities Activity Driver SQ AQ SP Purchasing parts Purchase orders 2,600 3,640 $300 Receiving parts Receiving orders 5,200 7,800 195 Moving parts Number of moves 2,600 390 Setting up equipment Setup hours 10,400 117 The actual prices paid per unit of each activity driver were equal to the standard prices. Required: 1. Prepare a cost report that lists the value-added, non-value-added, and actual costs for each activity. If an amount is zero, enter "0". Sanford, Inc. Value- and Non-Value-Added Cost Report For the Year Ended December 31, 20x1 Non- Value- Value- Actual Added Added Purchasing parts Receiving parts Moving parts Setting up equipment Total $4 2. Which activities are non-value-added?

Cost Report, Value-Added and Non-Value-Added Costs Sanford, Inc., has developed value-added standards for four activities: purchasing parts, receiving parts, moving parts, and setting up equipment. The activities, the activity drivers, the standard and actual quantities, and the price standards for 20x1 are as follows: Activities Activity Driver SQ AQ SP Purchasing parts Purchase orders 2,600 3,640 $300 Receiving parts Receiving orders 5,200 7,800 195 Moving parts Number of moves 2,600 390 Setting up equipment Setup hours 10,400 117 The actual prices paid per unit of each activity driver were equal to the standard prices. Required: 1. Prepare a cost report that lists the value-added, non-value-added, and actual costs for each activity. If an amount is zero, enter "0". Sanford, Inc. Value- and Non-Value-Added Cost Report For the Year Ended December 31, 20x1 Non- Value- Value- Actual Added Added Purchasing parts Receiving parts Moving parts Setting up equipment Total $4 2. Which activities are non-value-added?

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Description: Cost Report, Value-Added and Non-Value-Added CostsSanford, Inc., has developed value-added standards for four activities: purchasing parts, receiving parts, moving parts, and setting up equipment. The activities, theactivity drivers, the standard an

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

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