MICHIGAN CORPORATION . reported sales of $8,100,000 in 2016. At the end of the year, the following quality costs were reported: Design review $405,000 Lost sales 270,000 Materials inspection 54,000 Process acceptance 67,500 Product inspection 40,500 Quality training 135,000 Recalls 135,000 Reinspection 67,500 Returned goods 128,250 Scrap 47,250 Required: 1. What are quality costs? 2. Describe the four types of quality costs. Which is the most significant and important to control and why? 3. Prepare a quality cost report for 2011 4. Prepare a graph (either a pie chart or bar graph) that illustrates the relative distribution of quality costs and comment on the distribution