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You are given the following environmental quality-related costs: Employee training Product design Supplier certification Process inspection Depreciation-pollution-control equipment Maintain pollution-control equipment Clean up polluted lake

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You are given the following environmental quality-related costs: Employee training Product design Supplier certification Process inspection Depreciation-pollution-control equipment Maintain pollution-control equipment Clean up polluted lake Restore land after use Property damage claim $220,000 260,000 100,000 380,000 520,000 320,000 620,000 820,000 720,00 Required 1. Prepare a cost-of-quality (CoQ) report of environmental management for the year. Determine subtotals for each of the four reporting categories, and express each subtotal as a percentage of total operating expenses ($10,000,000) for the year. (Hint. Classify the pollution-control costs as internal failure costs, under the assumption that the process pollutes and that the pollution-control equipment used by the company controls the release of pollutants into the environment) (Round your percentage answers to 1 decimal place.) Cost-of-Quality (COQ) Report %Of Total Subtotals Operating Cost Amounts Prevention costs: 0 Appraisal costs 0 Internal failure costs: 0 External failure costs: Totals 0 0.0 %

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