Johnson Advertising Agency incurs the following costs in its service activities. Classify each one of them according to one of the value chain functions.
1. Amortization of the artist design desk.
2. Cost of computer time used to create designs for customers.
3. Cost of updating an ad for a customer.
4. Cost of computer time used by a salesperson.
5. Cost of changing an unsuccessful ad after client complains that ad targeted wrong customers.
6. Cost of materials used in the layout of a customer's magazine ad.

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The Answer of Johnson Advertising Agency incurs the following costs in its service activities. Classify each one of them according to one of the value chain functions.
1. Amortization of the artist design desk.
2. Cost of computer time used to create designs for customers.
3. Cost of updating an ad for a customer.
4. Cost of computer time used by a salesperson.
5. Cost of changing an unsuccessful ad after client complains that ad targeted wrong customers.
6. Cost of materials used in the layout of a customer's magazine ad.

Johnson Advertising Agency Incurs the Following Costs in Its Service