Accountants of Keto Heaven have collected some information relating to production costs of the Meal Box Division for the first half of 2022 in the table below:

Activities	Details	Costs ($)
Material inspection	Purchase staff spends 1 hour every day inspecting incoming delivery	$1,200
Substandard materials (Scrap)	Costs of received materials being discarded due to being low quality	$3,000
Shipping of returned goods	Costs of finished goods being returned and reshipped due to low quality	$2,500
Warranty	Costs of warranty for low-quality products reported by customers	$4,890
Sub-standard finished goods	Costs of finished goods being discarded due to failing the quality inspection post-production	$2,800
Servicing customers complaints	Costs of customer service answering and resolving customers' complaints	$2,300
Idle time due to poor materials	Costs of production stop due to materials turning bad and cannot be used in production.	$1,100
Idle time due to machine break-down	Costs of production stops due to unexpected machine breakdown	$500

Required:

5a. Using the information provided in Part F, prepare the quality report for Meal Box Division for the first half of 2022.

5b. Based on the quality report in requirement 5a, identity 2 issues with the quality control process of the Meal Box Division.

5c. Based on the quality report in requirement 5a and the production process (given in Part B, question 1), suggest two initiatives to reduce the external failure costs. Explain how the suggested initiatives can potentially reduce external failure costs.