Problem $12-19($Algo$)$ Quality Cost Report $[$LO$12-2]$

In response to intense foreign competition, Florex Company has taken steps to improve the quality of its products. A summary of its quality costs $($in thousands$)$ over the past two years is given below:

Costs $($in thousands$)$

Last Year This Year

Inspection $ $765$ $ $1,584$

Quality engineering $ $540$ $ $675$

Depreciation of test equipment $ $630$ $ $225$

Rework labor $ $1,260$ $ $1,620$

Statistical process control $ $0$ $ $225$

Cost of field servicing $ $1,710$ $ $1,170$

Supplies used in testing $ $45$ $ $81$

Systems development $ $630$ $ $900$

Warranty repairs $ $4,140$ $ $1,260$

Net cost of scrap $ $540$ $ $1,530$

Product testing $ $900$ $ $1,440$

Product recalls $ $2,700$ $ $990$

Disposal of production defects $ $900$ $ $900$

Sales have been flat over the past few years, at $$90,000,000$ per year.

Required:

$1.$ Prepare a quality cost report for this year and last year.

Note: Enter amount values in thousands. Round your percentage answers to $2$ decimal places $($i$.$e $0\mathrm{.}1234$ should be entered as $12\mathrm{.}34).$