Lost sales due to poor quality Quality data gathering, analysis, and reporting Net cost of spoilage Re-entering data because of keying errors Test and inspection of in-process goods Final product testing and inspection Statistical process control activities Returns arising from quality problems Downtime caused by quality problems $ 15,200 $ 64,700 $ 68,300 $ 20,700 $ 19,500 $ 43,800 $ 36,300 $ 33,100 $ 65,000

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 26E: Which of the following would be a hidden quality cost? a. Inspecting and testing prototypes b....
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Fabrick Company's quality cost report is to be based on the following data:
Lost sales due to poor quality
Quality data gathering, analysis, and reporting
Net cost of spoilage
Re-entering data because of keying errors
Test and inspection of in-process goods
Final product testing and inspection
Statistical process control activities
Returns arising from quality problems
Downtime caused by quality problems
What would be the total appraisal cost appearing on the quality cost report?
$ 15,200
$ 64,700
$ 68,300
$ 20,700
$ 19,500
$ 43,800
$36,300
$ 33,100
$ 65,000
Transcribed Image Text:Fabrick Company's quality cost report is to be based on the following data: Lost sales due to poor quality Quality data gathering, analysis, and reporting Net cost of spoilage Re-entering data because of keying errors Test and inspection of in-process goods Final product testing and inspection Statistical process control activities Returns arising from quality problems Downtime caused by quality problems What would be the total appraisal cost appearing on the quality cost report? $ 15,200 $ 64,700 $ 68,300 $ 20,700 $ 19,500 $ 43,800 $36,300 $ 33,100 $ 65,000
Multiple Choice
O
O
O
$164,300
$99,700
$87,800
$63,300
Transcribed Image Text:Multiple Choice O O O $164,300 $99,700 $87,800 $63,300
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