Home Health Care, LLP, incurred the following service-related activity costs for the month. Prepare an analysis of

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Home Health Care, LLP, incurred the following service-related activity costs for the month. Prepare an analysis of the costs of conformance by identifying the prevention costs and appraisal costs, and compute the percentage of sales represented by prevention costs, appraisal costs, and total costs of conformance.

Total sales .............$22,000

Quality training of employees ...... 500

Vendor audits ........... 400

Quality-certified vendors ........ 100

Preventive maintenance ....... 300

Quality sampling of services ..... 200

Field testing of new services ..... 250

Quality circles ............. 50

Quality improvement projects ..... 150

Technical service support ....... 75

Inspection of services rendered ...... 175

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Managerial Accounting

ISBN: 978-0618777181

8th Edition

Authors: Susan V. Crosson, Belverd E. Needles

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