QUESTION 2: D.E. Smith Company recycles computers. It buys them and salvages parts and materials from obsolete systems. It considers that has done a "quality"jcb If can salvage 50% of the book value of equipment it buys. The book value of a particular lot that it bought was $1,700,000. Categorize the folowing cost data incurred in processing the lot costs in their appropriate quality cost categories and present them in a revised table of quality cost Categories. What conclusions can be drawn? Customer returns are simply scrapped and replaced. Be sure and specify your assumptions about category of quality where necessary. Coct Category Quality equipment design Scrap Inspection and retest Customer retums Supplier quality surveys Repair Amount 28.000 330,000 340,000 90,000 8,000 90,000 [40 marks]