The following information pertains to Aquamarine, Inc., for the current year:

Sales	$1,500,000
Internal failure costs	150,000
External failure costs	90,000
Appraisal costs	50,000
Prevention costs	30,000
Cost of goods sold	600,000

?

If quality costs were reduced to 2 percent of sales, profits would increase by:

	a.	$350,000.
	b.	$210,000.
	c.	$30,000.
	d.	$290,000.