prepare a quality cost report in good form with separate sections for prevention cos 633896
Hartlie Company”s quality cost report is to be based on the following data:
|
Lost sales due to poor quality |
$11,000 |
|
Rework labor and overhead |
$75,000 |
|
Statistical process control activities |
$26,000 |
|
Depreciation of test equipment |
$16,000 |
|
Re-entering data because of keying errors |
$86,000 |
|
Debugging software errors |
$55,000 |
|
Quality data gathering, analysis, and reporting |
$48,000 |
|
Supervision of testing and inspection activities |
$12,000 |
|
Warranty repairs and replacements |
$75,000 |
Required:
Prepare a Quality Cost Report in good form with separate sections for prevention costs, appraisal costs, internal failure costs, and external failure costs.