Advanced Technologies (AT) produces two compression machines that are popular with manufacturers of plastics: no. 165 and no. 172. Machine no. 165 has an average selling price of $29,000, whereas no. 172 typically sells for approximately $25,500. The company is very concerned about quality and has provided the following information: No. 172 No. 165 60 Number of machines produced and sold Warranty costs Average repair cost per unit $850 $ 300 10% Percentage of units needing repair Reliability engineering at $50 per hour Rework at AT s marufacturing plant 65% 1, 550 hours 1, 900 hours Average rework cost per unit $1, 850 $1, 500 40% 250 hours 20% 400 hours Percentage of units needing rework Manuf acturing inspection at $60 per hour Transportation costs to customer sites to fix problems Quality training for employees $28, 500 $34, 000 $13, 000 $48, 000 Required 1. Classify the preceding costs as prevention, appraisal, internal failure, or external failure 2-a. Using the classifications in requirement (1), compute AT's quality costs for machine no. 165 in dollars and as a percentage of sales 2-b. Using the classifications in requirement (1), compute ATs calculate prevention, appraisal, internal failure, and external failure costs 3-a. Using the classifications in requirement (1), compute ATs quality costs for machine no. 172 in dollars and as a percentage of sales 3-b. Using the classifications in requirement (1), compute AT's calculate prevention, appraisal, internal failure, and external failure costs revenues as a percentage of total quality costs revenues as a percentage of total quality costs 4. Is the company "investing" its quality expenditures differently for the two machines