A quality control activity analysis indicated the following four activity costs of a hotel: Inspecting cleanliness of rooms $172,000 Processing lost customer reservations 129,000 Rework incorrectly prepared room service meal 86,000 Employee training 43,000 Total $430,000 Sales are $4,300,000. Prepare a cost of quality report.
A quality control activity analysis indicated the following four activity costs of a hotel: Inspecting cleanliness of rooms $172,000 Processing lost customer reservations 129,000 Rework incorrectly prepared room service meal 86,000 Employee training 43,000 Total $430,000 Sales are $4,300,000. Prepare a cost of quality report.
Financial And Managerial Accounting
15th Edition
ISBN:9781337902663
Author:WARREN, Carl S.
Publisher:WARREN, Carl S.
Chapter27: Lean Manufacturing And Activity Analysis
Section: Chapter Questions
Problem 4BE: Cost of quality report A quality control activity analysis indicated the following four activity...
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A quality control activity analysis indicated the following four activity costs of a hotel:
| Inspecting cleanliness of rooms | $172,000 |
| Processing lost customer reservations | 129,000 |
| Rework incorrectly prepared room service meal | 86,000 |
| Employee training | 43,000 |
| Total | $430,000 |
Sales are $4,300,000. Prepare a cost of quality report. Round percent of sales to one decimal place.
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