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1. Heracross Inc quality cost report is based on the following data: Test and inspection of in-process goods 38,000 Quality training 56,000 Product recalls 80,000
1. Heracross Inc quality cost report is based on the following data:
Test and inspection of in-process goods | 38,000 |
Quality training | 56,000 |
Product recalls | 80,000 |
Net cost of scrap | 98,000 |
Cost of handling complaints | 30,000 |
Final product testing and inspection | 89,000 |
Returns arising from quality problems | 33,000 |
Statistical process control activities | 83,000 |
Liability arising from defective products | 72,000 |
Downtime caused by quality problems | 78,000 |
Quality data gathering, analysis, and reporting | 85,000 |
Systems development | 54,000 |
Technical support provided to suppliers | 55,000 |
Disposal of defective products | 76,000 |
Lost sales due to poor quality | 40,000 |
1. ______________ would be the Total Prevention Cost appearing on the quality cost report.
2. ______________ would be the Total External Failure Cost appearing on the quality cost report.
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