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Trend Report, Non-Value-Added Costs Sanford, Inc., has developed value-added standards for four activities: purchasing parts, receiving parts, moving parts, and setting up equipment. The activities,
Trend Report, Non-Value-Added Costs Sanford, Inc., has developed value-added standards for four activities: purchasing parts, receiving parts, moving parts, and setting up equipment. The activities, the activity drivers, the standard and actual quantities, and the price standards for 201 are as follows: The actual prices paid per unit of each activity driver were equal to the standard prices. Suppose that for 202, Sanford, Inc., has chosen suppliers that provide higher-quality parts and redesigned its plant layout to reduce material movement. Additionally, Sanford implemented a new setup procedure and provided training for its purchasing agents. As a consequence, less setup time is required and fewer purchasing mistakes are made. At the end of 202, the following information is provided. Prepare a report that compares the non-value-added costs for 202 with those of 201. Enter all your answers as positive amounts. Sanford, Inc. Non-Value-Added Cost Trend Report For the Year Ended December 31, 20x2
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