Auto-sound Company manufactures and sells high-quality audio speakers. The speakers are encased in solid walnut cabinets supplied by Garrison Cabinet Inc. Garrison packages the speakers in durable moisture-proof boxes and ships them by truck to Auto-sound’s manufacturing facility, which is located 50 miles from the cabinet factory.

Required:
Identify the non value-added activities that occur between the companies described in the preceding scenario. Explain how these nonvalue-added activities could be eliminated.