Nike cos cost allocation and product costing procedures


NIKE Co.'s cost allocation and product costing procedures follow activity-based costing principles. Activities have been identified and classified as being either value-adding or non value-adding as to each product. Which of the following activities, used in Nike's production process, is non value-adding?

  • Raw materials storage activity.
  • Design engineering activity.
  • Heat treatment activity.
  • Drill press activity.

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Macroeconomics: Nike cos cost allocation and product costing procedures
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