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CO Wonvalue Added Costs Evans Inc. has the following two activities: (1) Reworking products, cost: $740,000. The reworking cost of the most competitor is $200,000.
CO Wonvalue Added Costs Evans Inc. has the following two activities: (1) Reworking products, cost: $740,000. The reworking cost of the most competitor is $200,000. (2) Purchasing parts, cost: $900,000 (45,000 purchasing hours). A benchmarking study rey efficient level for Evans would use 24,000 purchasing hours and entail a cost of $450,000. Required: Hetermine the nonvalue-added cost of each activity. Reworking Purchasing $ 393,750 x Jonvalue-added cost: $ 5,437,50 X Feedback Check My Work Nonvalue-added costs are caused either by nonvalue-added activities or value-added activities performed inet
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