nvironmental Cost Report

Verde Company reported operating costs of $43,000,000 as of December 31, 20x5, with the following environmental costs:

Testing for contamination	$ 1,204,000
Inspecting products	602,000
Treating toxic waste	1,333,000
Obtaining ISO 14001 certification	430,000
Designing processes	602,000
Cleaning up oil spills	2,623,000
Maintaining pollution equipment	602,000
Cleaning up contaminated soil	5,375,000

Required:

1. Prepare an environmental cost report, classifying costs by quality category and expressing each as a percentage of total operating costs. Round percentages to two decimal places, if rounding is required. For example, 5.79% would be entered as "5.79".

Verde Company
Environmental Cost Report
For the Year Ended December 31, 20x5
	Environmental Cost	Total Environmental Cost	Percentage of Operating Costs
Prevention costs:
Obtaining ISO 14001 certification	$fill in the blank 4677caf3803eff4_2
Designing processes	fill in the blank 4677caf3803eff4_4	$fill in the blank 4677caf3803eff4_5	fill in the blank 4677caf3803eff4_6%
Detection costs:
Testing for contamination	$fill in the blank 4677caf3803eff4_8
Inspecting products	fill in the blank 4677caf3803eff4_10	fill in the blank 4677caf3803eff4_11	fill in the blank 4677caf3803eff4_12%
Internal failure costs:
Treating toxic waste	$fill in the blank 4677caf3803eff4_14
Maintaining pollution equipment	fill in the blank 4677caf3803eff4_16	fill in the blank 4677caf3803eff4_17	fill in the blank 4677caf3803eff4_18%
External failure costs:
Cleaning up oil spills	$fill in the blank 4677caf3803eff4_20
Cleaning up contaminated soil	fill in the blank 4677caf3803eff4_22	fill in the blank 4677caf3803eff4_23	fill in the blank 4677caf3803eff4_24%
Total quality costs		$fill in the blank 4677caf3803eff4_25	fill in the blank 4677caf3803eff4_26%