Salmon Corporation has five divisions, each manufacturing a product line that competes in the global marketplace. The company is planning to compete for the Malcolm Baldrige Award, so management requires that each division record and report its efforts to achieve quality in its product line. The information below was submitted to the company's controller for the most recent six-month period.

Required
1. Prepare an analysis of the costs of quality for each division. Categorize the costs as costs of conformance or costs of nonconformance. (Round to two decimal places.)
2. For each division, compute the percentage of total revenue for each of the four cost-of-quality categories and the ratios for the nonfinancial data. (Round percentages to two decimal places.)
3. Rank the divisions in order of their apparent product quality.
4. Accounting Connection â–¶ What three measures were most important in your rankings in requirement 3? Why?
5. Accounting Connection â–¶ Which division has been most successful in its bid to improve quality? What measures illustrate its high quality rating?
6. Accounting Connection â–¶ Consider the two divisions producing the lowest quality products. What actions would you recommend to the management of each division? Where should their quality dollars be spent?

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Division A Division B Division CDivision D Division E 2 Total Revenue 3 Costs of Quality 4Customer complaint process 5 Scrap and rework 6 Quality audit of products 10.4410 110 1510 34,900 11,.710) 10 3.500 21.4410) 11.4400 6.440) 12,83000 1.00 38,700 11,900 13,610 8,700 21.100 1.44)() 11,300 6,500, 11,400 13,600 10,200 1730) 8Warranty claims 40) 01) 46,900 4 2410 11.010 4M1) PH) 43010 5.600 1.00 Nonfinancial Measure of Qualit 46 62 640) 9,800 140 970 20) 325,000