Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Gilbert Industries manufactures freezers. Here is some information about its LX17 line of freezers over the past year: Gilbert Industries manufactures freezers. Here is some
Gilbert Industries manufactures freezers. Here is some information about its "LX17" line of freezers over the past year:
Gilbert Industries manufactures freezers. Here is some information about its "LX17" line of freezers over the past year: PS(Click the icon to view the information.) Read the requirements. Requirement 1. Prepare a Cost of Quality (COQ) report. In addition to calculating the total costs of each category, calculate the percentage of COQ category of the total COQ. (Round the percentage to the one tenth of a percent, X.X%. If a box is not used in the table leave the box empty; do not select a label or enter a zero.) Gilbert Cost of Quality Report Costs Total Costs of Percentage of Total Costs Incurred Quality of Quality (Rounded) Prevention Costs: Total prevention costs Appraisal Costs: Total appraisal costs Internal Failure Costs: Choose from any list or enter any number in the input fields and then continue to the next question. i Data Table - Number of units manufactured and sold 4,000 units 1,500 700 900 0.5 hours 5% Selling price per unit Variable manufacturing and selling costs per unit. Hours spent by engineers improving design. Testing and inspection hours per unit Percentage of units reworked in the plant after inspection. Average variable rework costs per refrigerator. Percentage of units repaired under warranty at customers' homes Average variable repair costs at customers' homes per refrigerator. Estimated lost sales.due to quality. reputation. Design engineer's labor rate (includes benefits and payroll taxes). Inspection costs per hour... $ 520 7% $ 550 500 units $60 per hour $50 per hour Print Done Requirements 1. Prepare a Cost of Quality (COQ) report. In addition to calculating the total costs of each category, calculate the percentage of COQ category of the total COQ. 2. Why would the variable repair cost at the customers' home generally be higher than the "in factory" rework cost? 3. How can use of the COQ report lead to improvements in the production process or in the quality of the product itself? Print Done Internal Failure Costs: Total internal failure costs % External Failure Costs: Total external failure costs % Total costs of quality % Requirement 2. Why would the variable repair cost at the customers' home generally be higher than the "in factory" rework cost? The variable repair cost at the customers' home will generally be higher than the "in factory" rework cost because a service call will include additional costs such as Requirement 3. How can use of the COQ report lead to improvements in the production process or in the quality of the product itself? The COQ report shows the companyStep by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started