FINANCIAL ACCOUNTING
10th Edition
ISBN: 9781259964947
Author: Libby
Publisher: MCG
expand_more
expand_more
format_list_bulleted
Concept explainers
Topic Video
Question
thumb_up100%
Cost of Quality Report
A quality control activity analysis indicated the following four activity costs of a hotel:
Inspecting cleanliness of rooms | $56,000 |
Processing lost customer reservations | 28,000 |
Rework incorrectly prepared room service meal | 84,000 |
Employee training | 112,000 |
Total | $280,000 |
Sales are $1,400,000. Prepare a cost of quality report. Round percent of sales to one decimal place.
Cost of Quality Report | |||
Quality Cost Classification |
Quality Cost | Percent of Total Quality Cost |
Percent of Total Sales |
Prevention | ? | ? | ? |
Appraisal | ? | ? | ? |
Internal failure | ? | ? | ? |
External failure | ? | ? | ? |
Total | ? | ? |
?
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution
Trending nowThis is a popular solution!
Step by stepSolved in 2 steps with 2 images
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Similar questions
- Please do not give solution in image format thankuarrow_forwardCost of Quality Report A quality control activity analysis indicated the following four activity costs of a hotel: Inspecting cleanliness of rooms $97,200 Processing lost customer reservations 48,600 Rework incorrectly prepared room service meal 291,600 Employee training 48,600 Total $486,000 Sales are $2,700,000. Prepare a cost of quality report. Round percent of sales to one decimal place.arrow_forwardPerformance Eval - Decentralized Ops: The pictures contain all the information. Thanks!arrow_forward
- Scatter Diagrams and High-Low Cost Estimation From April 1 through October 31, Will County Highway Department hires temporary employees to mow and clean the right-of-way along county roads. The County Road Commissioner has asked you to help her in determining the variable labor cost of mowing and cleaning a mile of road. The following information is available regarding current-year operations: Month April May June July August September October Miles Mowed Labor and Cleaned Costs 350 $4,000 300 3,750 400 4,500 250 2,750 375 4,250 200 2,500 100 2,400 Use the information from the high- and low-volume months to develop a cost-estimating equation for monthly labor costs. Monthly labor costs = $ 1,700 + $ 7 X Plot the data on a scatter diagram. Using the information from representative high- and low volume months, use the high-low method to develop a cost- estimating equation for monthly labor costs. Monthly labor costs $ 0 + $ ox Adjust the equation developed in requirement (b) to…arrow_forwardPlease show your work.arrow_forwardDo not give image formatarrow_forward
- Do not give solution in imagearrow_forwardPlease do not give solution in image format thankuarrow_forwardRoom Revenue Transient Rooms Sold Group Rooms Sold Total Rooms Sold Operating Expenses Linen Cleaning Supplies Guest Supplies Outside Services Laundry Concierge Expense Office Supplies Reservation Expenses Reservation $150,000 Fixed Res Center Cost $180,000 Variable Reser. Center Department Cost at $6 per transient res. Total Reservation Expense 83,730 16,270 100,000 All other Expense $251,200 Total Operating Expenses Total Operating Expense Percentage $31,100 $24,000 $104,800 $24,000 $80,500 $60,000 $19,200 $581,200 $120,000arrow_forward
- Please do not give solution in image format thankuarrow_forwardScatter Diagrams and High-Low Cost EstimationFrom April 1 through October 31, Will County Highway Department hires temporary employees to mow and clean the right-of-way along county roads. The County Road Commissioner has asked you to help her in determining the variable labor cost of mowing and cleaning a mile of road. The following information is available regarding current-year operations: Month Miles Mowedand Cleaned LaborCosts April 350 $16,000 May 300 15,000 June 400 18,000 July 250 11,000 August 375 17,000 September 200 10,000 October 100 9,600 a. Use the information from the high- and low-volume months to develop a cost-estimating equation for monthly labor costs. Monthly labor costs = Answer + Answer X b. Plot the data on a scatter diagram. Using the information from representative high- and low volume months, use the high-low method to develop a cost-estimating equation for monthly labor costs. Monthly labor costs = Answer + Answer X d.…arrow_forwardCost Behavior Analysis in a Restaurant: High-Low Cost Estimation Assume a Papa John's restaurant has the following information available regarding costs at representative levels of monthly sales: Cost of food sold Wages and fringe benefits Fees paid delivery help Rent on building Depreciation on equipment Utilities Supplies (soap, floor wax, etc.) Administrative costs Total Monthly sales in units 5,000 8,000 10,000 $15,000 $24,000 $30,000 4,350 4,560 4,700 1,300 2,080 2,600 1.300 1,300 1,300 400 400 400 750 840 900 150 180 200 1.500 1.500 1,500 $24.750 $34,860 $41,600 (a) Identify each cost as being variable, fixed, or mixed. Cost of food sold Wages and fringe benefits Fees paid delivery help Rent on building Depreciation on equipment Variable # Mixed ● Variable ÷ Fixed Fixedarrow_forward
arrow_back_ios
arrow_forward_ios
Recommended textbooks for you
- AccountingAccountingISBN:9781337272094Author:WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.Publisher:Cengage Learning,Accounting Information SystemsAccountingISBN:9781337619202Author:Hall, James A.Publisher:Cengage Learning,
- Horngren's Cost Accounting: A Managerial Emphasis...AccountingISBN:9780134475585Author:Srikant M. Datar, Madhav V. RajanPublisher:PEARSONIntermediate AccountingAccountingISBN:9781259722660Author:J. David Spiceland, Mark W. Nelson, Wayne M ThomasPublisher:McGraw-Hill EducationFinancial and Managerial AccountingAccountingISBN:9781259726705Author:John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting PrinciplesPublisher:McGraw-Hill Education
Accounting
Accounting
ISBN:9781337272094
Author:WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:Cengage Learning,
Accounting Information Systems
Accounting
ISBN:9781337619202
Author:Hall, James A.
Publisher:Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis...
Accounting
ISBN:9780134475585
Author:Srikant M. Datar, Madhav V. Rajan
Publisher:PEARSON
Intermediate Accounting
Accounting
ISBN:9781259722660
Author:J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:McGraw-Hill Education
Financial and Managerial Accounting
Accounting
ISBN:9781259726705
Author:John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:McGraw-Hill Education