Fabrick Company's quality cost report is to be based on the following data: Lost sales due to poor quality$78,000Quality data gathering, analysis, and reporting$23,000Net cost of spoilage$88,000Re-entering data because of keying errors$98,000Test and inspection of in-process goods$24,000Final product testing and inspection$78,000Statistical process control activities$49,000Returns arising from quality problems$16,000Downtime caused by quality problems$26,000? ?What would be the total internal failure cost appearing on the quality cost report?
A. $166,000
B. $114,000
C. $122,000
D. $212,000
Answer: D
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Sill Corporation makes one product. Budgeted unit sales for January, February, March, and April are 9,900, 11,400, 11,900, and 13,400 units, respectively. The ending finished goods inventory equals 20% of the following month's sales. The ending raw materials inventory equals 40% of the following month's raw materials production needs. Each unit of finished goods requires 5 pounds of raw materials. If 61,000 pounds of raw materials are required for production in March, then the budgeted raw material purchases for February is closest to:
A. 57,500 pounds B. 104,900 pounds C. 58,900 pounds D. 81,900 pounds
A __________ is a partnership in which the liability of the general partners has been limited to the same extent as in a limited liability partnership
a. limited partnership b. limited liability company c. limited liability limited partnership d. None of these are correct.
One of the major advantages of making adjustments in order to improve the quality of financial statements is that they:
A. ensure that revenues and expenses are recognized conservatively during the period in which they are paid. B. provide an opportunity to manipulate the numbers to the best advantage of the reporting company. C. ensure that revenues and expenses are recognized during the period they are earned and incurred. D. ensure that all estimates of future activities are eliminated from consideration.
Section 201 of SOX prohibits audit firms from providing a wide array of nonaudit services to audit clients.
Answer the following statement true (T) or false (F)