Q6

Schedule of Activity Costs Activity Cost Quality Control Activities $49,500 Process audits 29,500 Training of machine operators 15,900 Processing returned products 24,300 Scrap processing (disposal) 7,100 Rework 31,000 Preventative maintenance 45,400 Product design 8,300 Warranty work 22,100 Finished goods inspection From the above schedule of activity costs, determine the internal failure cost a. $31,400 b. $101,000 Oc. $55,600 Od. $25,120