11:59 LTE Exam Three Project Questions.docx Exam Three Project Questions #1-Cost of Quality (10 points) The following data is from Star Production Systems: Activity Coming Activity Cost $10,000 Dispening of poor-quality incoming a 15,000 Disposing of sp Responding to customer compl15,000 Impecting incoming materials Preventative machine mine 25,000 25,000 17,300 15,000 25,000 As a recent business graduate (with a special love for accounting), Star Production has asked you to analyze their activity costs and make recommendations for improvement. Using the data above, create a Cost of Quality Report and suggest activity areas that should be investigated further by the company. Assume that they are not experts in the difference between "good" costs of quality and "bad" costs of quality and you should include a distinction between the two in your report. #2 Capital Investment Analysis (10 points) As a recent graduate with an associate degree in Business, you are trying to determine if getting a Bachelor's degree is worth the money. To help make the decision, you should evaluate the present value of the cash flows from possessing an associate degree versus possessing a bachelor's degree. Researching current tuition fees and employment data has yielded the following information: Annual Tuition and costs for a CSU: $10,000 (Assume this covers all expenses: tuition, books, etc.) Time to Compete: 2 years Average Salary with associate degree only: $35,000 Average Salary with bachelor's degree: $55,000 Assume you will earn the above salaries for ten years. Use the present value tables to complete the following: 1. Determine the Net Present Value of the Cash Flows from the associate degree; there is no tuition cost as you have already completed the degree. 2. Determine the Net Present Value of the Cash Flows from the bachelor's degree; remember to account for the "cost" of tuition. 3. What is the advantage or disadvantage for pursuing a bachelor's degree under these assumptions? Previous 81 Dashboard Calendar To Do Notifications inbox