E4-16 Dewey and Cheatam is a law firm that is initiating an activity-based cost

E4-16
Dewey and Cheatam is a law firm that is initiating an activity-based
costing system. Jim Dewey the senior partner and strong supporter of
ABC has prepared the following list of activities performed by a
typical attorney in a day at the firm.Classify each activity as either value-added or non-value-added.Activity HoursWriting contracts and letters 1.0Attending staff meetings 0.5Taking depositions 1.0Doing research 1.0Traveling to/from court 1.0Contemplating legal strategy 1.0Eating lunch 1.0Litigating a case in court 2.5Entertaining a prospective client 2.0Instructions:a) How much was value-added timeb) How much was non-value-added time