Blank options for Value-Added/ Non-Value-Added Classification column include ( Value-Added or Non-Value-Added)

Cost of Quality and Value Added/Non-Value Added Reports for a Service Company Three Rivers Inc. provides cable TV and Internet service to the local community. The activities and activity costs of Three Rivers are identified as follows: a. Identify the cost of quality classification for each activity and whether the activity is value-added or non-value-added. Activity Quality Cost Cost Classification Value-Added/ Non-Value Added Classification Quality Control Activities Billing error correction $25,400 61,500 Cable signal testing Reinstalling service installed incorrectly the first time) 54,700 12,300 Repairing satellite equipment Repairing underground cable connections to the customer 16,500 Replacing old technology cable with higher quality 87,800 cable Replacing old technology signal switches with higher quality switches 100,400 Responding to customer home repair requests 30,500 Training employees 20,900 Total activity cost $410,000 Appraisal External failure Internal failure Prevention Prepare a cost of quality report Assume that sales are $2050 bercentages to one decimal place b. Prepare a cost of quality report. Assume that sales are $2,050,000. If required, round percentages to one decimal place. Quality Cost Classification Prevention Appraisal Internal failure Three Rivers Inc. Cost of Quality Report Percent of Total Percent of Quality Cost Quality Cost Total Sales % % % % % % External failure % % % % Total C. Prepare a value-addedon-value-added analysis. Three Rivers Inc. Value Added/Non-Value Added Activity Analysis Category Amount Percent Value-added % Non-value-added % Total % d. What percentage of total costs of quality are considered to be value-added? 51.0% 15.0% 66.0% None of these options are correct