what would be the total external failure cost appearing on the quality cost report 633877
Eames Company”s quality cost report is to be based on the following data:
|
Technical support provided to suppliers |
$20,000 |
|
Test and inspection of in-process goods |
$67,000 |
|
Depreciation of test equipment |
$68,000 |
|
Quality data gathering, analysis, and reporting |
$46,000 |
|
Warranty repairs and replacements |
$97,000 |
|
Debugging software errors |
$22,000 |
|
Downtime caused by quality problems |
$95,000 |
|
Returns arising from quality problems |
$12,000 |
|
Supervision of testing and inspection activities. |
$24,000 |
What would be the total external failure cost appearing on the quality cost report?
A) $226,000
B) $451,000
C) $109,000
D) $34,000