Identifying appropriate cost drivers
Provide at least one example of an appropriate cost driver (allocation base) for each of the following activities.
a. Workers move materials from the warehouse to the factory floor.
b. Assembly line machines are operated.
c. Workers count completed goods before moving them to a warehouse.
d. A logistics manager runs a computer program to determine the materials release schedule.
e. Janitors clean the factory floor after workers have left.
f. Mechanics apply lubricant to machines.
g. Engineers design a product production layout.
h. Engineers set up machines to produce a product.
i. The production supervisor completes the paperwork initiating a work order.
j. The production manager prepares materials requisition forms.