Three Rivers Inc. provides cable TV and Internet service to the local community. The activities and activity costs of Three Rivers are identified as follows: a. Identify the cost of quality classification for each activity and whether the activity is value-added or non-value-added. Value-Added/ Activity Quality Cost Non-Value-Added Quality Control Activities Cost Classification Classification Billing error correction $43,800 Cable signal testing 102,200 Appraisal Reinstalling service (installed incorrectly the first time) 94,200 External failure Repairing satellite equipment 21,900 Internal failure Repairing underground cable connections to the Prevention customer 28,500 Replacing old technology cable with higher quality cable 162,500 Replacing old technology signal switches with higher quality switches 185,700 Responding to customer home repair requests 52,500 Training employees 38,700 Total activity cost $730,000Cost of Quality Report Quality Cost Classification Quality Cost Percent of Total Quality Cost Percent of Total Sales Prevention 0/ Appraisal 0/o Internal failure oo External failure oo Total c. Prepare a value-addedon-value-added analysis. Three Rivers Inc. Value-Added/Non-Value-Added Activity Analysis Category Amount Percent Value-added oo Non-value-added D Total d. What percentage of total costs of quality are considered to be value-added