Reference no: EM132924425
Question - Splendid Ltd is a fertiliser manufacturing company located on a bank of Mills river. Splendid has developed the following analysis of its environmental costs and revenues for the last financial year:
Employee training costs on effluent disposal $3250
Scrap value of broken fertiliser bags (10,200)
Cleaning of exhausts 2250
Penalty fine for small leakage of untreated waste into the Mill River 10,560
Inspection of exhaust effluent systems 15,891
Restoring land where waste was dumped 18,796
Study tour to the France to select new environmentally friendly machines 5,769
Developing air pollution monitoring systems 20,245
Lost sales due to previous land dumping of waste 5,050
Workers' compensation claims due to poor environmental practices 8,752
Obtaining ISO 14009 certification 87,908
Total $77,113.00
Required -
1. Identify and total the costs as Tier 1 to Tier 5.
2. In Tier 3, Tier 4 and Tier 5, identify two environmental costs each that has been missed by Splendid Ltd.
3. Based on requirements of question 2, identify the steps management of Splendid can implement to reduce the environmental cost.
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