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please complete the excel problems a-d The two activities that are good candidates for improvement are: Averaqe process cost per paid claim: TotalActivitvCost/NumberofPavments=AveraaeCostderPayment Obj. 1,
please complete the excel problems a-d
The two activities that are good candidates for improvement are: Averaqe process cost per paid claim: TotalActivitvCost/NumberofPavments=AveraaeCostderPayment Obj. 1, Obj. 3 The procurement process for Jarom Wholesale Company includes a series of activities that transforms a materials requisition into a vendor payment. The process begins with a request for materials. The requesting department prepares and sends a materials request form to the Purchasing Department. The Purchasing Department then places a request for a quote to vendors. Vendors prepare bids in response to the request for a quote. A vendor is selected based on the lowest bid. A purchase order to the low-bid vendor is prepared. The vendor delivers the materials to the company, whereupon a receiving ticket is prepared. Payment to the vendor is authorized if the materials request form, receiving ticket, and vendor invoice are in agreement. These three documents fail to agree 40% of the time, initiating effort to reconcile the differences. Once the process can be diagrammed as follows: Details An activity analysis indicated the following activity costs with this process: Details On average, the process handles 10,000 individual requests for materials that result in 10,000 individual payments to vendors. a. Develop a table showing the percent of individual activity cost to the total process cost. b. Determine the average total process cost per vendor payment, assuming 10,000 payments. c. Prepare a table showing the improvements in the activity costs as a result of the changes proposed by management. Show columns of activity cost prior to improvement, after improvement, and savings. d. Estimate the average cost per vendor payment, assuming that the changes proposed by management are enacted for 10,000 total payments Step by Step Solution
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