1. Which of the following is a nonvalue-added activity? Product design Customer
ID: 2478712 • Letter: 1
Question
1. Which of the following is a nonvalue-added activity?
Product design
Customer service
Research and development
Rework of defective items
2. A company's break-even point will not be increased by:
an increase in total fixed costs.
a decrease in the selling price per unit.
an increase in the variable cost per unit.
a decrease in the contribution margin ratio.
an increase in the number of units produced and sold.
3.
increases the employee's commitment to the organization and its objectives.
decreases the employee's reliance on financial performance measures.
increases the likelihood that goal congruence problems will occur.
decreases the chances of an unfavorable manufacturing cycle time.
4.
moving time + storage time.
storage time + inspection time.
moving time + storage time + inspection time.
process time + inspection time + moving time.
process time + moving time + storage time + inspection time.
1. Which of the following is a nonvalue-added activity?
Explanation / Answer
The correct answer is option option(D) which is Rework of defective items. The correct answer is option (A). An increase in total fixed costs. The correct answer is option (A). Increase the employees’s commitment to the organisation and its objectives The correct answer is option (D). process time+moving time+storage time+inspection time
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