Monday, 1 July 2019

Fabrick Company's quality cost report is to be based on the following data:

Fabrick Company's quality cost report is to be based on the following data:

   
Lost sales due to poor quality$15,000
Quality data gathering, analysis, and reporting$65,500
Net cost of spoilage$67,000
Re-entering data because of keying errors$22,900
Test and inspection of in-process goods$16,400
Final product testing and inspection$41,000
Statistical process control activities$40,800
Returns arising from quality problems$39,300
Downtime caused by quality problems$61,900


What would be the total external failure cost appearing on the quality cost report?
Multiple Choice

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