Exercise 1A-2 (Static) Classification of Quality Costs [LO1-7 1. A number of activities that are a part of a company's quality control system are listed below. Classify the costs associated with each of these activities into one of the following categories: prevention cost, appraisal cost, internal failure cost, or external failure cost Activities Cost a. Product testing. b. Product recalls. c. Rework labor and overhead. d. Quality circles. e. Downtime caused by defects. f. Cost of field servicing. g. Inspection of goods h. Quality engineering Warranty repairs. iStatistical process control. k. Net cost of scrap. Depreciation of test equipment Returns and allowances anising from poor quality n. Disposal of defective products. o. Technical support to suppliers. p. Systems development q.Warranty replacements r.Field testing at customer site. s. Product design. 2a. Which of the four types of costs listed in () above are incurred in an effort to keep poor quality of conformance from occurring? (You may select more than one answer. Single click the box with the question mark to produce a check mark for a correct answers and double click the box with the question mark to empty the box for a wrong answers.) External failure costs Internal failure costs Prevention costs Appraisal costs 2b. Which of the four types of costs listed in () above are incurred because poor quality of conformance has occurred? (You may select more than one answer. Single click the box with the question mark to produce a check mark for a correct answers and double click the box with the question mark to empty the box for a wrong answers.) Prevention costs Internal failure costs. Appraisal costs External failure costs