Prevention cost

Appraisal cost

Internal failure cost

external failure cost

Dacosta & Co makes electronic components. Chris Dacosta, the president recenitly instructed Vice President Jim Bruegger to develop a total quality cntrol program. "If we don't at least match the quality improvements our compettors are making he told Bruegger, "we'll soon be out of business Bruegger began by lsting various "costs of qulity that Dacosta incurs. The first sik iterns hat came to mind were Clok the loon to view the information) box is not used in the table leave the box empty, do not enter a zero) Appraisal Cost Cost External Failure Cost More info a. Costs incured by Dacosta customer representatives traveing to customer sites to repair defectve products $13,000 Lost prots from ost sales due to repuiation for lese than perfect products, $70,000 Costs of specting componenis in one of Dacosta's production grocesses 35,000 d. Salaries of engineers who are redesigning oomponents to wihstand electricel oveloads 505.000 565.000 Costs of reworking defective components aer discovery by company inspectors 526.000 Costs of electonie componenis retumed by oustomers. 550.000