Question: A quality control activity analysis indicated the following four activity costs of a hotel. Verifying credit card information $40,000 Customer service training 20,000 Discounting room

A quality control activity analysis indicated the following four activity costs of a hotel.

Verifying credit card information

$40,000

Customer service training

20,000

Discounting room rates due to poor customer service

16,050

Correcting charges to customer invoices

8,000

Total

$84,050

Sales are $750,000 for the year.

1. Prepare a cost of quality report.

2. Given the report you've prepared, what is your advice to hotel management?

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