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Activity-Based Quality Costing Abernathy, Inc., produces two different generators and is concerned about their quality. The company has identified the following quality activities and costs
Activity-Based Quality Costing Abernathy, Inc., produces two different generators and is concerned about their quality. The company has identified the following quality activities and costs associated with the two products: Generator A Generator B Units produced 170,000 340,000 1,700 850 3,400 850 Warranty work (units) Scrapped units (number) Inspection (hours) Quality training (hours) Activities: 3,400 1,700 85 85 Performing warranty work $816,000 612,000 Scrapping units Inspecting 306,000 Quality training 85,000 Required: 1. Calculate the quality cost per unit for each product, and break this unit cost into quality cost categories. If required, round your answers to the nearest cent. Generator A Gen tor Unit cost $ Which of the two seems to have the lowest quality
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