Reference no: EM132625443
Ealsy Company's quality cost report is to be based on the following data:
Maintenance of test equipment P95,000
Cost of field servicing and handling complaints 17,000
Statistical process control activities 77,000
Net cost of scrap 62,000
Downtime caused by quality problems 23,000
Technical support provided to supplier 93,000
Depreciation of test equipment 81,000
Supplies used in testing and inspection 33,000
Warranty repairs and replacements 24,000
Required:
Question 1. What would be the total prevention cost appearing on the quality cost report?
Question 2. What would be the total appraisal cost appearing on the quality cost report?
Question 3. What would be the total internal failure cost appearing on the quality cost report?
Question 4. What would be the total external failure cost appearing on the quality cost report?