Cicleta Manufacturing has four activities: receiving materials, assembly, expediting products, and storing goods. Receiving and...
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Accounting
Cicleta Manufacturing has four activities: receiving materials, assembly, expediting products, and storing goods. Receiving and assembly are necessary activities; expediting and storing goods are unnecessary. The following data pertain to the four activities for the year ending 2012 (actual price per unit of the activity driver is assumed to be equal to the standard price):
Activity
Activity Driver
SQ
AQ
SP
Receiving
Receiving orders
10,400
25,500
$18
Assembly
Labor hours
105,000
127,500
13
Expediting
Orders expedited
0
8,500
43
Storing
Number of units
0
17,000
6
Prepare a cost report for the year ending 2012 that shows value-added costs, non-value-added costs, and total costs for each activity. If an amount is zero, enter "0".
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