Question
Nuke-It-Now manufactures microwave ovens. The following represents the financial information from one of its manufacturing plants for two years. Year 1 Year 2 Sales $
Nuke-It-Now manufactures microwave ovens. The following represents the financial information from one of its manufacturing plants for two years. Year 1 Year 2 Sales $ 3,500,000 $ 3,860,000 Costs Redesign process $ 28,000 $ 37,000 Discard defective units 35,700 43,500 Training on equipment 245,000 215,000 Warranty claims 134,000 177,000 Contract cancellations 200,000 153,000 Rework 65,000 94,000 Preventive maintenance 145,000 119,000 Product liability claims 300,000 177,000 Final inspection 199,000 198,000 Required: Construct a cost of quality report for year 1 and year 2. (Input all values as positive numbers. Round percentages to one decimal place.)
Calculate the ratio of the prevention, appraisal, internal failure, and external failure costs to sales for year 1 and year 2. (Round your answers to one decimal place.)
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