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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 169,200 344,600 Units produced Warranty work (units) Scrapped units (number) 1,800 840 3,430 880 Inspection (hours) 3,470 1,700 Quality training (hours) 88 Activities: Performing warranty work $831,600 616,330 Scrapping units 289,520 Inspecting Quality training Required: 88,880 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 Generator B Unit cost Which of the two seems to have the lowest quality? Generator A
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