Schedule of Activity Costs

Quality Control Activities	Activity Cost
Process audits	$50,000
Training of machine operators	27,000
Processing returned products	18,000
Scrap processing (disposal)	24,000
Rework	8,000
Preventative maintenance	30,000
Product design	46,000
Warranty work	12,000
Finished goods inspection	22,000

From the above schedule of activity costs, determine the value-added costs.

Question 5 options:

	$153,000
	$175,000
	$125,000
	$103,000