Q1.a. The complete quality costs elements for the first year for the Al Hail construction equipment company are summarized in Table 1a. Table 1a. Cost Elements of the Al Hail Construction Equipment Cost Element Cost of replacement due to customer complaints Overall testing and inspection Rework Scrap cost In process Inspection Test and inspection cost Maintenance of Tools Correcting imperfections at factory workshop In-house testing Quality Control Administration Quality Audits Laboratory Testing Material testing and inspection Quality Training Cost (RO) 200,642 68,640 63,640 31,820 15,820 7,910 6,9101 4,9101 4,4101 4,410 3,010 2,010 2,010 100 Annual turnover of the company for the first year = 2400000 RO (1) Calculate the costs elements according to four major quality cost categories and what conclusions can be drawn from the above calculated cost for each category? [10] (i) Calculate the total percentage significance of the cost in each of the four major quality cost categories compared upon the annual turnover for the company. [5] (iii) Suggest which areas company should address in an order of their priority so as to improve the quality. [10] (Total marks 25 )