Mendle and Kiner is an architectural firm that is contemplating the installation of activity-based costing. The following activities are performed daily by staff architects.

Classify these activities as value-added or non–value-added:

(a) designing and drafting, 2.5 hours;

(b) staff meetings, 1 hour;

(c) on-site supervision, 2 hours;

(d) lunch, 1 hour;

(e) consultation with client on specifications, 1.5 hours;

(f) entertaining a prospective client for dinner, 2 hours.

AppendixLO1