19 Below is the costs related to quality of conformance for Stone Company (in thousands) for 2018.$InspectionQuality engineeringDepreciation of test equipment900450135Rework labor1,080Statistical process controlCost of field servicing1801,260Supplies used in testingSystems developmentWarranty repairsNet cost of scrap4509004,680720Product testing1,080Product recalls2,880Disposal of defective products900$15,615What were the total appraisal costs in 2018?1,5301,9801,6652,565E. None of the aboveА.$$$$В.С.D.

Appraisal cost: Appraisal cost means the costs incurred to identify defective products earlier than…

Below is the costs related to quality of conformance for Stone Company (in thousands) for 2018. $ Inspection Quality engineering Depreciation of test equipment 900 450 135 Rework labor 1,080 Statistical process control Cost of field servicing Supplies used in testing Systems development 180 1,260 450 900 Warranty repairs Net cost of scrap 4,680 720 Product testing 1,080 Product recalls 2,880 Disposal of defective products 900 15,615 What were the total appraisal costs in 2018? 1,530 1,980 1,665 2,565 E. None of the above А. $ В. $ С. 2$ D. 2$

Below is the costs related to quality of conformance for Stone Company (in thousands) for 2018. $ Inspection Quality engineering Depreciation of test equipment 900 450 135 Rework labor 1,080 Statistical process control Cost of field servicing Supplies used in testing Systems development 180 1,260 450 900 Warranty repairs Net cost of scrap 4,680 720 Product testing 1,080 Product recalls 2,880 Disposal of defective products 900 15,615 What were the total appraisal costs in 2018? 1,530 1,980 1,665 2,565 E. None of the above А. $ В. $ С. 2$ D. 2$

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 4CE: Nabors Company had actual quality costs for the year ended June 30, 20x5, as given below. At the...

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Eagleson Company's quality cost report is to be based on the following data: Net cost of scrap $ 75,000 Liability arising from defective products $ 32,000 Warranty repairs and replacements $ 80,000 Re-entering data because of keying errors $ 75,000 Supplies used in testing and inspection $ 18,000 Quality data gathering, analysis, and reporting $ 62,000 Final product testing and inspection $ 21,000 Test and inspection of in-process goods $ 44,000 Systems development $ 45,000 What would be the total appraisal cost appearing on the quality cost report?
SHERA Corporation incurred the following quality costs for the year ended 2024: Cost of quality training $10,569 Cost of rework labor and overhead $14,498 Cost of field servicing $12,905 Cost of recalled product $10,209 Downtime due to rework $10,018 Product testing $11,289 Inspection of goods $13,920 Warranty replacements $14,348 Quality engineering $12,244 Determine the total prevention cost.
HELP WITH CORRECT ANSWER AND WORKING Schedule of Activity CostsQuality Control ActivitiesActivity CostProcess audits$48,200Training of machine operators27,000Processing returned products16,700Scrap processing (disposal)25,200Rework8,900Preventative maintenance28,100Product design43,800Warranty work6,900Finished goods inspection23,000 From the above schedule of activity costs, determine the total activity cost. a. $227,800 b. $99,000 c. $275,638 d. $149,700
Schedule of Activity Costs Quality Control Activities Activity Cost Process audits $50,400 Training of machine operators 26,300 Processing returned products 15,700 Scrap processing (disposal) 24,100 Rework 7,500 Preventative maintenance 28,800 Product design 44,900 Warranty work 9,400 Finished goods inspection 22,300 From the provided schedule of activity costs, determine the non-value-added costs. a.$114,500 b.$56,700 c.$229,400 d.$47,300
Calculate the total cost of External Failure activities. Design Reviews $275,000 Finished goods returned due to failure $55,000 Freight on replacement finished goods $27,000 Labor for inspection during manufacturing $75,000 Labor for inspection of raw materials $32,000 Product Testing – Labor $63,000 Rework -labor and overhead $150,000 Materials for Warranty repairs $68,000 Process Engineering $180,000 Product Liability Claims $145,000 Product Testing – Equipment $35,000 Equipment Repairs due to breakdown…
Bianca Company incurred the following costs during 2021:- Testing in search for process alternative = 230,000- Adaptation of an existing capability to a particular requirement or customer's need = 140,000- Design, construction, and testing of pre-production prototypes and models = 120,000- Routine design of tools, jigs, molds, and dies = 125,000 Required:How much is the research and development expense in 2021?
NOT GRADED PLEASE provide details on calculations so I understand Steampunk Corporation has the following predicted indirect costs and cost drivers for 2019 for the given activity cost pools: FabricationDepartment FinishingDepartment Cost Driver Maintenance $ 42,000 21,000 Machine hours Materials handling 63,000 31,500 Material moves Machine 147,000 10,500 Machine setups Inspections - 52,500 Inspection hours Total $ 252,000 $ 115,500 The following activity predictions were also made for the year: FabricationDepartment FinishingDepartment Machine hours 5,000 2,500 Material moves 1,500 750 Machine setups 350 25 Inspection hours - 500 It is assumed that the cost per unit of activity for a given activity does not vary between departments. Steampunk's president, Abner Punk, is trying to evaluate the company's product mix strategy regarding two of its product models, SW100 and SG150. The company has been using a company wide overhead rate…
Davis, Inc., had the following quality costs for the years ended December 31, 20x4 and 20x5: 20x4 20x5 Prevention costs: Quality audits $63,000 $94,500 Vendor certification 118,500 177,750 Appraisal costs: Product acceptance $94,000 $141,000 Process acceptance 113,000 117,500 Internal failure costs: Retesting $98,000 $88,000 Rework 204,000 179,000 External failure costs: Recalls $130,000 $104,000 Warranty 300,000 290,000 At the end of 20x4, management decided to increase its investment in control costs by 50 percent for each category’s items with the expectation that failure costs would decrease by 20 percent for each item of the failure categories. Sales were $12,500,000 for both 20x4 and 20x5. Required: 1. Calculate the budgeted costs for 20x5. $fill in the blank 4e356df4cfd006b_1…
Calculate the total cost of Appraisal activities. Design Reviews $275,000 Finished goods returned due to failure $55,000 Freight on replacement finished goods $27,000 Labor for inspection during manufacturing $75,000 Labor for inspection of raw materials $32,000 Product Testing – Labor $63,000 Rework -labor and overhead $150,000 Materials for Warranty repairs $68,000 Process Engineering $180,000 Product Liability Claims $145,000 Product Testing – Equipment $35,000 Equipment Repairs due to breakdown…
Lloyd Industries manufactures electrical equipment from specifications received from customers. Job X10 was for 1,000 motors to be used in a specially designed electrical complex. The followingcosts were determined for each motor: At final inspection, Lloyd discovered that 33 motors did not meet the exacting specifications established by the customer. Anexamination indicated that 18 motors were beyond repair andshould be sold as spoiled goods for 75 each. The remaining15 motors, though defective, could be reconditioned as first-qualityunits by the addition of 1,650 for materials, 1,500 for labor, and1,200 for factory overhead. Required: Prepare the journal entries to record the following: 1. The scrapping of the 18 motors, with the income from spoiledgoods treated as a reduction in the manufacturing cost of thespecific job. 2. The correction of the 15 defective motors, with the additionalcost charged to the specific job. 3. The additional cost of replacing the 18 spoiled motors with newmotors. 4. The sale of the spoiled motors for 75 each. 5. If the reconditioned motors sell for 400 each, is Lloyd betteroff reconditioning the defective motors or selling them as isfor 75 as spoiled goods?
Identify cost graphs The following cost graphs illustrate various types of cost behavior: For each of the following costs, identify the cost graph that best illustrates its cost behavior as the number of units produced increases. a. Direct material cost per unit. b. Fees for using a patent of $500,000 plus $0.25 for each unit produced. c. Salary of quality control supervisor. d. Straight-line depreciation per unit on factory equipment. e. Total direct materials cost.
Using the Taguchi quality loss function, an average loss of 20 per unit is calculated. During the year, 25,000 units were produced. Which of the following statements represents the correct application of the Taguchi loss function? a. The hidden costs of internal failure are 500,000. b. The hidden costs of external failure are 500,000. c. The costs of detection activities are 20 per unit inspected. d. The total external costs are 500,000.