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Calculate the ratio of prevention to failure costs, based on the information provided below. Failure costs Defective products R 5 , 5 0 0 .

Calculate the ratio of prevention to failure costs, based on the information provided below.
Failure costs
Defective products
R 5,500.00
Engineered scrap
R 17,354.00
Nonengineered scrap
R 122,567.00
Consumer adjustments
R 633,000.00
TOTAL
R 778,421.00
Prevention costs
Quality training
R 15,500.00
Product redesign
R 17,000.00
Process engineering:
* Corporate
* Plant
R 125,745.00
R 40,000.00
TOTAL
R 198,245.00
Appraisal costs
Receiving inspection
R 35,600.00
Line 1 inspection
R 43,526.00
Line 2 inspection
R 55,679.00
Spot checking
R 62,000.00
TOTAL
R 196,805.00
Select one:
1.
0.3689
2.
1.6570
3.
0.8912
4.
3.8674
5.
0.2547

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