1 In response to intensive foreign competition, the management of Florex Company has attempted over the past year to improve the quality of its products. A statistical process control system has been installed and other steps have been taken to decrease the amount of warranty and other field costs, which have been trending upward over the past several years. Costs relating to quality and quality control over the last two years are given below: Contain thousands) Last This Year Year Inspection 990 1,003 Quality engineering $ 405 $ 720 Depreciation of test equipment 720 315 Rework labor $1,260 5 1.710 Statistical process control Cost of field servicing $1,575 $1,260 Supplies used in testing 45 $ 72 Systems development 920 900 Warranty repalen 3.733 Net cost of scrap $ 630 $1,000 Product testing $ 1.035 Product recalls $ 2,970 $ 900 Disposal of defective products 110 $1,260 5 $ erences $ S 500 $ $ $ s $1,620 $1,530 Sales have been flat over the past few years, at $90,000,000 per year. A great deal of money has been spent in the effort to upgrade quality, and management is anxious to see whether or not the effort has been effective. Required: 1. Prepare a quality cost report that contains cats for both this year and last year (Enter amount values in thousands. Round your percentage answers to 2 decimal places f.e 0,1234 should be entered as 12.34).) Florex Company Quality Cost Report Last Year Amount (in Percent of thousan Sau This Year Amount in Percent of th Sales Tc raw Prey 1 of 2 Next > Flores Company Quality Cost Report Last Year Amount (in Percent of thousands Sales 15 Dots This Year Amount in Percent of thousands Prevention costs DOO % 0 Total prevention costs Appraisal costs 0.00 0 0.00 Total appraisal costs Interflure costs 0 0.00 0 0.00 0 Total incomalfallure costs External aureo 0.00 0.00 0 0.00 0 0.00 Total xomilure con Total quality cont Mc