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Question
Figure 7-1.The receiving department of Owen has three activities: unloading, counting goods, and inspecting. Unloading requires a forklift that is leased for $15,000 per year. The forklift is used only for unloading. The fuel for the forklift is $2,000 per year. Inspection requires special testing equipment that has a depreciation of $500 per year and an operating cost of $1,000 per year. Receiving has four employees who each have an average salary of $35,000 per year. The work distribution matrix for the receiving personnel is as follows:
| Percentage of Time | |
| Activity | on Each Activity |
| Unloading | 25% |
| Counting | 40% |
| Inspecting | 35% |
Refer to Figure 7-1. Calculate the cost of unloading.
a. $50,500
b. $56,000
c. $52,000
d. $54,000
Answer
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