HNW Ltd. HNW Ltd. manufactures and sells food processors. A popular consumer magazine has recently evaluated food processors and has ranked HNW's processors as being of "poor quality". As a result, HNW's management team has begun to analyze all costs associated with their food processors in more detail, and the following data has been compiled: Scrap costs $ 80,000 Quality training 75,000
Warranty claims 100,000 Rework costs 50,000 Inspection of incoming materials 30,000 Product quality audits 60,000 Statistical process control 40,000 Refer to the HNW Ltd. information above. What are HNW's total appraisal (detection) costs?
A) $130,000
B) $205,000
C) $90,000
D) $100,000
A
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An evoked set consists of the inept set and the inert set
Indicate whether the statement is true or false
Electrowhip, a company that manufacturers blenders and electric whisks, has decided to use a market penetration pricing strategy. Which of the following, if true, proves their decision to be a wise one?
A) Electrowhip's competitors utilize social media for marketing their products. B) Electrowhip sells products whose image and quality support high prices. C) Electrowhip operates in a market with many competitors. D) Electrowhip does not operate in a price sensitive market. E) Electrowhip's products are intended to appeal to the elite in society.
For cost control purposes, actual costs should be compared to
a. the original budget. b. actual costs for the prior period. c. a flexible budget. d. a static budget.
Which of the following statements is false?
a. When using the weighted average method, it doesn't matter in what period the transferred in units were started. b. When the weighted average method is used, the cost of goods transferred is equal to the number of units transferred multiplied by the cost per EUP. c. When the weighted average method is used, the ending inventory of WIP is computed by multiplying the EUP for each cost component multiplied by the component cost per unit. d. All of the above statements are false.