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The Abrams Corporation incurred the following quality costs for the year ending December 31, 2018:
Inspections$33,800
Training$15,900
Quality planning$7,000
Maintenance$8,400
Rework$3,450
Warranty$8,130
Testing of Equipment$7,200
Scrap$8,000
Lost sales$17,800
Downtime$9,600
Repairs$6,400
Problem 1: What are the total external failure costs for the Abrams Corporation?
a)$31,300
b) $41,000
c) $21,050
d) $32,330
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