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Versatile Electrics manufactures an electrical instrument that is popular with car manufacturers. The company is concerned about the performance of the instrament and has collected
Versatile Electrics manufactures an electrical instrument that is popular with car manufacturers. The company is concerned about the performance of the instrament and has collected following costs incurred in July No. of units produced and sold Inspection of electrical component purchased Cost of rework on faulty instruments Warranty costs: Average repair cost per unit Percentage of units needing repairs Replacement of instruments already sold Manufacturing inspection at $45 per hour Transportation costs to customers sites to fix problems Quality training to employees Cost of defective parts that cannot be salvaged Test of instruments before sale 800 $32 000 $95 000 $900 40% $125 000 350 hours $30 000 $25 000 $12 500 |$18 000 Required: ( Using the information above, prepare a cost of quality report. Write your answer in the table below: (5 marks) Versatile Electrics manufactures an electrical instrument that is popular with car manufacturers. The company is concerned about the performance of the instrament and has collected following costs incurred in July No. of units produced and sold Inspection of electrical component purchased Cost of rework on faulty instruments Warranty costs: Average repair cost per unit Percentage of units needing repairs Replacement of instruments already sold Manufacturing inspection at $45 per hour Transportation costs to customers sites to fix problems Quality training to employees Cost of defective parts that cannot be salvaged Test of instruments before sale 800 $32 000 $95 000 $900 40% $125 000 350 hours $30 000 $25 000 $12 500 |$18 000 Required: ( Using the information above, prepare a cost of quality report. Write your answer in the table below
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