Benton Company reported sales of $8,100,000 in 2007. At the end of the year, the following quality costs were reported:

Required:
1. Prepare a quality cost report.
2. Prepare a graph (pie chart or bar graph) that shows the relative distribution of quality costs, and comment on the distribution.

Transcribed Image Text:

Design review $405,000 Recalls 135,000 Reinspection 67,500 Materials inspection 54,000 Quality training 135,000 Process acceptance 67,500 Scrap 47,250 Lost sales 270,000 Product inspection 40,500 Returned goods 128,250