Chapter 4, Problem 1E

ABC Cost Hierarchy L04−1
The following activities occur at Greenwich Corporation. a company that manufactures a variety of products:
a. Various individuals manage the parts inventories.
b. A clerk in the factory issues purchase orders for a job.
c. The personnel department trains new production workers.
d. The factory’s general manager meets with other department heads to coordinate plans.
e. Direct labor workers assemble products.
L Engineers design new products.
g. The materials storekeeper issues raw materials to be used in jobs.
h. The maintenance department performs periodic preventive maintenance on general-use equipment.
Required:
Classify each of the activities above as either a unit-level, batch-level, product-level, or facility-level activity.