A quality control activity analysis indicated the following four activity costs of a hotel: Inspecting cleanliness of
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Question:
A quality control activity analysis indicated the following four activity costs of a hotel:
Inspecting cleanliness of rooms | $73,800 |
Processing lost customer reservations | 36,900 |
Rework incorrectly prepared room service meal | 110,700 |
Employee training | 147,600 |
Total | $369,000 |
Sales are $4,100,000.
This information has been collected in the Microsoft Excel Online file. Open the spreadsheet, perform the required analysis, and input your answers in the question below.
Open spreadsheet
Prepare a cost of quality report. Round the percents of total quality cost to the nearest whole number and the percents of total 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 | $ | % | % |
Related Book For
Managerial accounting
ISBN: b010ikdqzm
10th Edition
Authors: Carl S. Warren, James M. Reeve, Jonathan E. Duchac
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