Question 1
Which of the following characteristics relate to non-value-added activities?
◦ They rarely consume resources in the production process.
◦ They are not essential to production.
◦ They can sometimes be decreased without affecting the quality of operations.
◦ They improve the production process.
Question 2
Which of the following is
not a characteristic of a non-value-added activity?
◦ Non-value-added activities always relate to fixed costs.
◦ Non-value-added activities may be decreased without affecting the quality of the product.
◦ Non-value-added activities cannot be eliminated entirely.
◦ An activity may be non-value-added in one scenario but value-added in another.