Moss Ltd Has the Following Activities: Creating Bills of Materials (BOM)

question 76

Multiple Choice

Moss Ltd. has the following activities: creating bills of materials (BOM) , studying manufacturing capabilities, improving manufacturing processes, training employees, and designing tooling. The general ledger accounts reveal the following expenditures for manufacturing engineering: The equipment is used for two activities: improving processes and designing tooling. Thirty-five percent of the equipment's time is used for improving processes and 65 percent is used for designing tools. The salaries are for two engineers. One is paid £50,000, while the other earns £25,000. The £50,000 engineer spends 40 percent of his time training employees in new processes and 60 percent of his time on improving processes. The remaining engineer spends equal time on all activities. Supplies are consumed in the following proportions:
What is the cost assigned to the improving processes activity?

• A) £250,000
• B) £25,000
• C) £43,750
• D) £51,000

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Definitions:

Comfort Zone

A behavioral state within which a person operates in an anxiety-neutral condition, using a limited set of behaviors.

Individual Job Performance

The level at which an employee fulfills their job responsibilities and tasks, often measured against predefined standards.

Reducing Behaviors

Actions taken to decrease the frequency or intensity of certain behaviors or habits.

Sabotage

Deliberate actions aimed at damaging, disrupting, or subverting systems, operations, or projects.