Cost of Quality Report for a Service Company

The administrator of Liberty Hospital has been asked to perform an activity analysis of the emergency room $($ER$).$ The ER activities include cost of quality and other patient care activities. The lab tests and transportation are hospital services external to the ER for determining external failure costs. The result of the activity analysis is summarized as follows:

$\backslash$table$[[$Activities$,$Activity Cost$],[$Patient registration,$6,500],[$Verifying patient information,$9,700],[$Assigning patients,$13,000],[$Searching$/$waiting for doctor,$9,200],[$Doctor exam,$4,900],[$Waiting for transport,$17,500],[$Transporting patients,$16,200],[$Verifying lab orders,$14,500],[$Searching for equipment,$8,200],[$Incorrect labs,$11,300],[$Lab tests,$17,000],[$Counting supplies,$19,000],[$Looking for supplies,$8,200],[$Staff training,$4,800],[$Total$,$$$160,000$