Question: A quality control activity analysis indicated the following four activity costs of a hotel: Inspecting cleanliness of rooms $108,000 Processing lost customer reservations 450,000 Rework

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

Inspecting cleanliness of rooms $108,000
Processing lost customer reservations 450,000
Rework incorrectly prepared room service meal 54,000
Employee training 288,000
Total $900,000

Sales are $3,000,000. 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 $ % %

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