Essay
Outdoor Oasis,Inc.
Outdoor Oasis,Inc.has just finished its first year of business.Outdoor Oasis,Inc.makes decorative outdoor furniture.The firm manufactured 2,500 pieces of furniture during the year: 2,400 were sold at garden centers for $456,000;100 pieces were defective and could only be sold as scrap metal (25 pounds each and can be sold for $2.50 per pound).No defective units could be reworked.During the year the following costs were incurred:
Refer to Outdoor Oasis,Inc.Compute the total quality cost incurred by the company during the first year of operations.
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