27(12)-20_9e - Quality Cost Quality Activities Activity...

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Exercise 27(12)-20 Name: Section: Enter the appropriate amount in the shaded cells below. A red asterisk (*) will appear to the right of an incorrect amount in the outlined cells. a. COUNTRYWIDE CABLE COMPANY Cost of Quality Report Cost Summary Quality Cost Percent of Total Percent of T Classification Quality Cost Quality Cost Sales Prevention Appraisal Internal failure External failure Total b. COUNTRYWIDE CABLE COMPANY Value-Added/Nonvalue-Added Activity Analysis Category Amount Percent Value-added Non-value-added Total The following classifications were used to develop the cost of quality report:
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Unformatted text preview: Quality Cost Quality Activities Activity Cost Classification VA/NVA Billing error correction $30,000 Cable signal testing 108,000 Reinstalling service (installed incorrectly the first time) 78,000 Repairing satellite equipment 12,000 Repairing underground cable connections to the customer 24,000 Replacing old technology cable with higher quality cable 132,000 Replacing old technology signal switches with higher quality switches 144,000 Responding to customer home repair requests 42,000 Training employees 30,000 Total $600,000 c. Total A...
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27(12)-20_9e - Quality Cost Quality Activities Activity...

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