Which of the following would be a non-value-added activity in the payroll department of a large computer manufacturer?
A) Paying employees accurately
B) Data entry
C) Running check runs in a timely manner
D) Filing 941 data with the Federal Government to comply with tax reporting requirements

Question

Quizplus · Accepted Answer

Non-value-added activities are those that do not add value to the product or service from the perspective of the customer. In the context of a payroll department, data entry is considered a non-value-added activity because it does not directly contribute to the satisfaction of the employees or the quality of the product, but rather is a necessary internal process. Activities like paying employees accurately, running check runs in a timely manner, and filing necessary tax data, on the other hand, are essential for legal compliance and employee satisfaction, thus adding value.

Which of the Following Would Be a Non-Value-Added Activity in the Payroll