Exercise 12-8 (Algo) Cost of Quality [LO12-2] Walton Company has measured its quality costs for the past two years. After the company gathers its quality cost data, it summarizes those costs using the four categories shown below: Last Year This Year Prevention costs $ 332,000 $ 663,000 Appraisal costs $ 471,700 $ 572,300 Internal failure costs $ 758,400 $ 505,000 External failure costs $ 1,144,000 $ 673,200 Required: 1. Calculate the total cost of quality last year and this year. 2. For last year, calculate the cost in each of the four categories as a percent of the total cost of quality. 3. For this year, calculate the cost in each of the four categories as a percent of the total cost of quality. 4-a. Calculate the change in total cost of quality over the twoyear period. 4-b. Is performance trending in a favorable or unfavorable direction? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4A Required 4B Calculate the total cost of quality last year and this year. Last Year This Year Total cost of quality Required 2 > Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4A Required 45 For last year, calculate the cost in each of the four categories as a percent of the total cost of quality. Note: Round your answers to 1 decimal place. Prevention costs Appraisal costs Internal failure costs External failure costs Total percent Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4A Required 4B For this year, calculate the cost in each of the four categories as a percent of the total cost of quality. Note: Round your answers to 1 decimal place. This Year Prevention costs % Appraisal costs % Internal failure costs % External failure costs % Total percent % Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4A Required 4B Calculate the change in total cost of quality over the two-year period. Prevention and appraisal activities Internal and external failure costs The total cost of quality Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4A Required 43 Is performance trending in a favorable or unfavorable direction? 0 Favorable O Unfavorable