Costs of Quality

Jun 21st, 2015
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Price: $20 USD

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Cool Corporation manufactures freezers; Sean IT company manufactures computer scanners

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Year 1Year 2Quality Cost CategoryAmount ($)Total Amount ($)Percentage of salesAmount ($)Total Amount ($)Percentage of salesPreventive CostsQuality training16,50018,800Production process design1,98,0001,30,000Preventive Maintenance1,35,0003,49,50014.27%95,0002,43,80011.08%Appraisal CostsMaterials inspection65,00048,000Finished product testing94,0001,59,0006.49%1,24,0001,72,0007.82%Internal Failure CostsScrap18,500

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