Baxter, Inc., produces cell phone equipment. Sylvia Bentley, Baxter's president, implemented a quality-improvement program that has now been in operation for 2 years. The cost report shown here has recently been issued.

Semi-Annual COQ Report, Baxter, Inc. (in thousands)
	6/30/2016	12/31/2016	6/30/2017	12/31/2017
Prevention costs
Machine maintenance	$420	$420	$350	$230
Supplier training	12	94	47	37
Design reviews	50	210	197	196
Total prevention costs	482	724	594	463
Appraisal costs
Incoming inspections	113	130	81	62
Final testing	338	338	288	198
Total appraisal costs	451	468	369	260
Internal failure costs
Rework	234	210	170	114
Scrap	132	113	72	61
Total internal failure costs	366	323	242	175
External failure costs
Warranty repairs	182	90	77	64
Customer returns	571	540	269	186
Total external failure costs	753	630	346	250
Total quality costs	$2,052	$2,145	$1,551	$1,148
Total revenues	$8,340	$9,060	$9,250	$8,910

Requirement 1. For each period, calculate the ratio of each COQ category to revenues and to total quality costs.

Begin by calculating the ratio of each COQ category to revenues and to total quality costs for

6/30/2016,

then

12/31/2016.

(Round your answers to the nearest whole percentage. Total quality costs as a percentage of revenues may not match the sum of each category's percentage due to rounding.)

	6/30/2016 (in thousands)
		% of		% of total
	Actual	revenues		quality costs
Prevention costs
Machine maintenance	$420
Supplier training	12
Design reviews	50
Total prevention costs	482		%		%
Appraisal costs
Incoming inspections	113
Final testing	338
Total appraisal costs	451		%		%
Internal failure costs
Rework	234
Scrap	132
Total internal failure costs	366		%		%
External failure costs
Warranty repairs	182
Customer returns	571
Total external failure costs	753		%		%
Total quality costs	$2,052		%