E6–2 Time allowed: 10 minutes Listed below are a number of activities that you have observed at Ming Company, a manufacturing company. Each activity has been classified as a unit-level, batch-level, product-level, or customer-level activity.

Required Complete the table by providing examples of activity measures for each activity that could be used to allocate its costs to products or customers.

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Activity (a) Direct labour workers assemble a product (b) Products are designed by engineers (c) Equipment is set up (d) Machines are used to shape and cut materials (e) Monthly bills are sent out to regular customers (f) Materials are moved from the receiving dock to production lines (g) All completed units are inspected for defects Level of activity Examples of Unit Product Batch Unit Customer Batch Unit activity measures