Explain the current situation of the company

A small company produce medical control devices. The manufacturing plant in Lille produces a device called T, which are sold to medical analysis laboratories. The price is 360 euros per unit. Part 1: The T products are manufactured using raw materials and components from the beginning of the process. If there is waste, raw materials and components cannot be saved. Before supplying the product to the sales department, the plant makes some statistical control for quality checking. In average, 5 % of the gross production is wasted through it. On this same gross production, 3 % pass through this control and are delivered to the customer and then replaced by the after-sales service The company provides you with the following accounting information for the year 2019: - Standard manufacturing cost for a production of 2000 units by month': Raw materials and components: 100 euros Direct Labour 80 euros Manufacturing Overheads: 100 euros Distribution Costs: 38 euros Standard costs: 318 euros The cost of the statistical control is 4000 euros by month. After-sales costs are the following: The cost of a teplacement on claim, not considering the replacement of the product itself, is estimated to 140 euros, but the marketing also suggests adding 80 euros for deterioration of the image of the product quality. During April, a production process dysfunction provoked delay in the deliveries and then the cancellation of an order of 120 units. Further, an exceptional discount of 8 euros is given to 30% of the deliveries (on net production) that where delayed. 1. Please, provide an estimate of the cost linked to quality problems in 2019. 360.00 Dos 2000 Cross production 100 Price wa No one Production witte Net production Aeral wat Netter-sales unit) Where wa 1 900 1340 Sandtorproduction 2.000 Raw material com Director 100.00 800 100 640 000,00 120 Total cost of Production Citit per te April. Production function No of cancelled order Cost of canciation of colled 38.00 170.00 43200,00 Der tel 100 per 2 000,00 170 Cost of production was 100 units Cast of waste Castly more 400000 19 200,00 Ne of units cancelled Na of units without Dok of met production No of units without discount 520 Cost of production on wat 588 800.00 1210 Aht Cost of tocain (ur) 14 tento the other Detaan productos 140.00 Othecat sales.com DOVE for OTTE 13,00 18,00 4000.00 00000 2000.00 10 000 000 00 540 000,00 54 000,00 12000 32000 120,00 320.00 00OCO > > or > or 103 100 100 100 100 ht 100 100 0.00 20.00 DEL 100 DO Pro 100 10 120.00 120.000 Bebe 320.00 330.00 13.00 13.00 11.000 0.000000 12000.00 3000 30000 100000 30000 10000 100,00 12000.00 Tulos 170 120 110 DOWE 01 00 09 JO OVE 400.00 100,00 8000 3.100.00 400,00 400.00 8400.00 400.00 400,00 400.00 400,00 Wat 13300001110000 12000019200.00 1970.00 8200.00 200.00 1.200.000 200.00 18200.00 19200,00 13200.00 4100,00 41000 4100,00 100,00 400 4100,000.00 40.000 300.00 4800.00 100,00 & 300,00 DOVE for OTTE 13,00 18,00 4000.00 00000 2000.00 10 000 000 00 540 000,00 54 000,00 12000 32000 120,00 320.00 00OCO > > or > or 103 100 100 100 100 ht 100 100 0.00 20.00 DEL 100 DO Pro 100 10 120.00 120.000 Bebe 320.00 330.00 13.00 13.00 11.000 0.000000 12000.00 3000 30000 100000 30000 10000 100,00 12000.00 Tulos 170 120 110 DOWE 01 00 09 JO OVE 400.00 100,00 8000 3.100.00 400,00 400.00 8400.00 400.00 400,00 400.00 400,00 Wat 13300001110000 12000019200.00 1970.00 8200.00 200.00 1.200.000 200.00 18200.00 19200,00 13200.00 4100,00 41000 4100,00 100,00 400 4100,000.00 40.000 300.00 4800.00 100,00 & 300,00