Managerial accounting please help!

Mercury, Inc., produces cell phones at its plant in Texas. In recent years, the company's market share has been eroded by stiff competition from overseas. Price and product quality are the two key areas in which companies compete in market. year ago, the company's cell phones had been ranked low in product quality in a consumer survey. shocked by this result, Jorge Gomez, Mercury's president, initiated a crash effort to improve product quality. set up a task force to implement a formal quality improvement program. Included on this task force were representatives from the Engineering, Marketing, Customer Service, Production, and Accounting departments. The broad representation was needed because Gomez believed that this was a companywide program and that employees should share the responsibility for its success After meeting force, manager of the Marketing Department, asked John production manager, what he thought of the proposed program. Tran replied, "I have reservations. Quality is too abstract to attaching costs to it and then to be holding you and me responsible for cost improvements. I like to work with goals that Ican see and countl about having my annual bonus based on a decrease in quality costs, there are too many variables that we have no control over Mercury's quality improvement program has now been in operation for one year. The company's most recent quality cost report is shown below