I CANT FIGURE OUT 3A and 3B

Acme Materials Company manufactures and sells synthetic coatings that can withstand high temperatures. Its primary customers are aviation manufacturers and maintenance companies. The following table contains financial information pertaining to cost of quality (COQ) in 2019 and 2020 (in thousands of dollars):

	2019			2020
Sales	$	15,400		$	19,400
Materials inspection		240			54
In-process (production) inspection		154			119
Finished product inspection		190			64
Preventive equipment maintenance		14			54
Scrap (net)		440			240
Warranty repairs		640			390
Product design engineering		144			210
Vendor certification		26			54
Direct costs of returned goods		215			74
Training of factory workers		34			134
Product testingequipment maintenance		54			54
Product testing labor		150			84
Field repairs		64			34
Rework before shipment		180			194
Product-liability settlement		300			54
Emergency repair and maintenance		140			69

Required:

1. Classify the cost items in the table into cost-of-quality (COQ) categories.

2. Calculate the ratio of each COQ category to revenues in each of the 2 years.

3. Calculate the percentage change in each COQ category and total COQ and comment on the results:

a. Percentage change in total COQ as a percentage of sales, from 2019 to 2020;

b. Total COQ in 2020 expressed as a percentage of 2019 sales dollars;

c. Percentage change in total prevention costs, 2019 to 2020;

d. Percentage change in total appraisal costs, 2019 to 2020;

e. Percentage change in total internal failure costs, 2019 to 2020;

f. Percentage change in total external failure costs, 2019 to 2020.