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Below are data on cost of quality at an automobile manufacturing plant for last year. You need to classify this cost items according to the cost-of-quality model (P/A/I/E) and answer the following questions. Just use one decimal place throughout your calculations.
Components under assembly product quality program
Cost ($million)
Classification
Returning repairs and reworks (including warranties)
0.1
?
Scheduled overhaul of critical machines
0.2
Scrap (including labor and parts)
Assembly-line worker training programs
Reworks due to production errors
0.4
Random tests on critical components at arrival
Final-product testing programs
Re-testing of repairs and remakes due to returns & recalls
(a) What is the total of prevention costs? (1 decimal)
(b) What is the total of appraisal costs? (1 decimal)
(c) What is the total of internal failure costs? (1 decimal)
(d) What is the total of external failure costs? (1 decimal)
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