Question
Exercise 4-16 Lasso and Markowitz is a law firm that is initiating an activity-based costing system. Sam Lasso, the senior partner and strong supporter of
Exercise 4-16
Lasso and Markowitz is a law firm that is initiating an activity-based costing system. Sam Lasso, the senior partner and strong supporter of ABC, has prepared the following list of activities performed by a typical attorney in a day at the firm. Classify each of the activities listed by Sam Lasso as value-added or nonvalue-added.
| Activities | Hours | |||
| Writing contracts and letters | 1.42 | Non-value-addedValue-added | ||
| Attending staff meetings | 0.49 | Non-value-addedValue-added | ||
| Taking depositions | 0.95 | Non-value-addedValue-added | ||
| Doing research | 1.03 | Non-value-addedValue-added | ||
| Traveling to/from court | 1.01 | Non-value-addedValue-added | ||
| Contemplating legal strategy | 1.10 | Non-value-addedValue-added | ||
| Eating lunch | 1.02 | Non-value-addedValue-added | ||
| Litigating a case in court | 2.57 | Non-value-addedValue-added | ||
| Entertaining a prospective client | 1.60 | Non-value-addedValue-added |
How much was value-added time? (Round answer to 2 decimal places, e.g. 2.13.)
| Value-added time | hours |
How much was nonvalueadded time? (Round answer to 2 decimal places, e.g. 2.13.)
| Nonvalueadded | hours |
| Click if you would like to Show Work for this question: | Open Show Work |
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started
Financial Accounting An Introduction to Concepts, Methods and Uses
Authors: Roman L. Weil, Katherine Schipper, Jennifer Francis
14th edition
978-1111823450, 1-133-36617-1 , 1111823456, 978-1-133-3661, 978-1133591023
