Walton Company has measured its quality costs for the past two years. After the company gathers its quality cost data, it summarizes those costs using the four categories shown below:

		Last Year			This Year
Prevention costs		$	371,300		$	656,500
Appraisal costs		$	471,700		$	599,500
Internal failure costs		$	726,800		$	470,000
External failure costs		$	1,155,000		$	646,000

Required: 1. Calculate the total cost of quality last year and this year. 2. For last year, calculate the cost in each of the four categories as a percent of the total cost of quality. (Round your percentage answers to 1 decimal place.) 3. For this year, calculate the cost in each of the four categories as a percent of the total cost of quality. (Round your percentage answers to 1 decimal place.)

4a. Calculate the change in total cost of quality over the two-year period. 4b. Is performance trending in a favorable or unfavorable direction?