Hollis Home Health Care, LLP, incurred the service-related activity costs for the month that follow. Total sales...........................................
Question:
Total sales........................................... $50,000
Quality training of employees.........................400
Vendor audits........................................... 200
Quality-certified vendors.............................. 200
Preventive maintenance............................... 300
Quality sampling of services...........................400
Field testing of new services..........................250
Quality circles............................................50
Quality improvement projects........................ 150
Technical service support...............................75
Inspection of services rendered....................... 175
Prepare an analysis of the costs of conformance by identifying the prevention costs and appraisal costs, and compute the percentage of sales represented by prevention costs, appraisal costs, and total costs of conformance.
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Related Book For
Managerial Accounting
ISBN: 978-1133940593
10th edition
Authors: Susan V. Crosson, Belverd E. Needles
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