Question
A quality control activity analysis indicated the following four activity costs of a hotel. Verifying credit card information $40,000 Customer service training 20,000 Discounting room
A quality control activity analysis indicated the following four activity costs of a hotel.
| Verifying credit card information | $40,000 |
| Customer service training | 20,000 |
| Discounting room rates due to poor customer service | 16,050 |
| Correcting charges to customer invoices | 8,000 |
| Total | $84,050 |
Sales are $750,000 for the year. Prepare a cost of quality report. Given the report you've prepared, what is your advice to hotel management?
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Quality Assessment Manual For The Internal Audit Activity
Authors: The Internal Audit Foundation
2017 Edition
0894139975, 978-0894139970
