Schedule of Activity Costs Quality Control Activities Process audits Training of machine operators Processing returned products Scrap processing (disposal) Rework Preventive maintenance Product design Warranty work Finished goods inspection Activity Cost $50,000 28,000 19,000 25,000 8,000 30,000 46,000 12,000 23,000 From the provided schedule of activity costs, determine the prevention costs. Oa. $30,000 Ob. $104,000 Oc. $74,000 Od. $76,000 ड

Cornerstones of Cost Management (Cornerstones Series)
4th Edition
ISBN:9781305970663
Author:Don R. Hansen, Maryanne M. Mowen
Publisher:Don R. Hansen, Maryanne M. Mowen
Chapter14: Quality And Environmental Cost Management
Section: Chapter Questions
Problem 5CE: Verde Company reported operating costs of 50,000,000 as of December 31, 20x5, with the following...
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Schedule of Activity Costs
Quality Control Activities
Process audits
Training of machine operators
Processing returned products
$50,000
28,000
19,000
25,000
8,000
30,000
46,000
12,000
23,000
From the provided schedule of activity costs, determine the prevention costs.
Oa. $30,000
Ob. $104,000
Oc. $74,000
Od. $76,000
Scrap processing (disposal)
Rework
Activity Cost
Preventive maintenance
Product design
Warranty work
Finished goods inspection
Transcribed Image Text:Schedule of Activity Costs Quality Control Activities Process audits Training of machine operators Processing returned products $50,000 28,000 19,000 25,000 8,000 30,000 46,000 12,000 23,000 From the provided schedule of activity costs, determine the prevention costs. Oa. $30,000 Ob. $104,000 Oc. $74,000 Od. $76,000 Scrap processing (disposal) Rework Activity Cost Preventive maintenance Product design Warranty work Finished goods inspection
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