Jamaica Western Electronic Components Inc. manufactures multiple components for fossil fuel power generation units. The various costs of quality from their internal accounting systems generated the listing and amounts of various costs as seen in the starting table.

Identify the various cost types: Prevention, Appraisal, Internal and External Failure for each cost.

Once you have identified the costs, create a comparative report of the Cost of Quality contrasting 2019 vs. 2020 annual costs. Insert the detail costs into the appropriate cost categories.

Comment on your observations of the comparative data.

D 1 Description 2,019 % of Sales 2,020 % of Sales Cost Type 2 Sales Revenues $ 12,200,000 $ 15,200,000 Revenues 3 3,250 5,250 360,000 90,600 4 Testing Downtime 5 Product Liability Lawsuits 6 Process inspection 7 Reinspection of Rework 8 Materials Inspection 5,205 6,840 4,190 6,510 4,450 6,840 9 Scrap 8,600 4,500 2,270 10 Customer Complaints 11 Testing Equipment 7,690 16,540 15,910 12 Preventive Maintenance 22,800 23,800 3,750 13 Lost Sales 16,800 15,425 22,460 30,850 28,490 14 Field Testing 15 Quality Training 16 Warranty Repairs 17 Rework 31,870 16,740 12,680 45,700 575,690 18 Total Costs $ 0.00% $ 244,320 0.00% 19 20 A B D E F 21 22 23 Power Generation Sources Corporation Costs of Quality - Percent of Sales Dollars 2,019 % of Sales 24 Description 2,020 % of Sales Change 25 Sales Revenues $12,200,000 $15,200,000 $3,000,000 26 27 Prevention Cost: 28 29 30 $0 $0 $0 $0 $0 31 32 Total Prevention Cost $0 0.00% $0 0.00% 33 34 Appraisal Cost: 35 $0 36 $0 37 $0 $0 38 Total Appraisal Cost $0 0.00% $0 0.00% 39 A B D E F 39 40 Internal Failure Cost: 41 $0 42 $0 43 $0 $0 44 Total Internal Failure Cost $0 0.00% $0 0.00% 45 46 External Failure Cost: 47 $0 48 $0 49 $0 50 $0 51 Total External Failure Cost $0 0.00% $0 0.00% $0 52 53 Total Costs $0 0.00% $0 0.00% $0 54