Cost of Quality ReportA quality control activity analysis indicated the following four activity costs of a hotel:Inspecting cleanliness of rooms$283,800Processing lost customer reservations94,600Rework incorrectly prepared room service meal47,300Employee training47,300Total$473,000Sales are $4,300,000. Prepare a cost of quality report. Round percent of sales to one decimal place.Cost of Quality ReportQuality CostPercent of Total Percent ofQuality CostClassificationQuality CostTotal SalesPreventionAppraisal%Internal failure%%External failure%%Total%

Quality is not always worth it, especially if it comes at very high cost or with excess buying…

Answered: Prepare a cost of quality report. Round

Business

Accounting

Prepare a cost of quality report. Round

Managerial Accounting

15th Edition

ISBN:9781337912020

Author:Carl Warren, Ph.d. Cma William B. Tayler

Publisher:Carl Warren, Ph.d. Cma William B. Tayler

Chapter13: Lean Manufacturing And Activity Analysis

Section: Chapter Questions

Problem 4BE

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Quality Cost Report Kang Company reported sales of $3,240,000 in 20x5. At the end of the calendar year, the following quality costs were reported: Design review $162,000 Recalls 54,000 Reinspection 27,000 Materials inspection 21,600 Quality training 54,000 Process acceptance 27,000 Scrap 18,900 Lost sales 108,000 Product inspection 16,200 Returned goods 51,300 Required: Question Content Area 1. Prepare a quality cost report. Round percentages to two decimal places, if rounding is required. For example, 5.79% would be entered as "5.79". Kang CompanyQuality Cost ReportFor the Year Ended December 31, 20x5 Quality Costs Total Quality Cost Percentage of Sales Prevention costs: $- Select - - Select - $- Select - - Select -% Appraisal costs: $- Select - - Select - - Select - - Select - - Select - Internal failure costs: $- Select - - Select - - Select - - Select - External…