Asked by Jakob Deckard on Jul 11, 2024

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All of the following are examples of facility sustaining costs except:

A) Costs of cleaning the workplace.
B) Costs of custodial work.
C) Costs of personnel support.
D) Costs of sampling product quality.
E) Costs of employee recreational facilities.

Facility Sustaining Costs

Expenses incurred to maintain the operational capacity of a physical facility or infrastructure, excluding costs related to direct production activities.

Cleaning

The process of removing contaminants, dirt, and impurities from objects and environments, often for maintaining health and hygiene.

Custodial Work

The cleaning, maintenance, and upkeep tasks performed to manage and maintain buildings and facilities.

  • Clarify the differences between levels of activities, categorizing them as Unit-level, Batch-level, Product-level, and Facility-level.
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Verified Answer

JR
Jaime ReynaJul 12, 2024
Final Answer :
D
Explanation :
Sampling product quality is considered a production cost, not a facility sustaining cost. Facility sustaining costs are expenses related to maintaining and operating the physical facility, such as cleaning, custodial work, personnel support, and employee recreational facilities.