Question
The following items are mismatched. Classify as per their corresponding category with regards to their costs, activity, theory as per popular costing methodologies: 1.Office building
The following items are mismatched. Classify as per their corresponding category with regards to their costs, activity, theory as per popular costing methodologies:
1.Office building and equipment cost= Primary activity of value chain
2.Raw material for production=Operating costs
3.Rent/ Utilities=Facility levels
4.Building maintenance=prevention cost as per quality cost
5.Plant security= Support activity of value chain
6.Unplanned replacement= Throughput contribution
7.Lost sales from bad review= facility levels
8.Pricing and channel management=Internal failure cost
9.Inputs in to final products=appraisal cost
10.Employee relations and promotions=facility level
11.Scrap=primary activity
12.Quality audits=Investments
13.Product liability=support activity
14.Order processing and distribution= External failure cost
15.Installation and repairs =External failure cost
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