Harvie Company's Quality Cost Report Is to Be Based on the Following

Essay

Harvie Company's quality cost report is to be based on the following data:
$\begin{array}{|l|l|}\hline \text { Lost sales due to poor quality } & \$ 50,000 \\\hline \text { Quality engineering } & \$ 66,000 \\\hline \text { Test and inspection of incoming materials } & \$ 88,000 \\\hline \text { Re-entering data because of keying errors } & \$ 36,000 \\\hline \text { Net cost of scrap } & \$ 46,000 \\\hline \text { Tets and inspection of in-process goods } & \$ 62,000 \\\hline \text { Warranty repair's and replacements } & \$ 32,000 \\\hline \text { Net cost of spoilage } & \$ 89,000 \\\hline \text { Technical support provided to suppliers } & \$ 70,000 \\\hline\end{array}$ Required:
Prepare a quality cost report in good form with separate sections for prevention costs,appraisal costs,internal failure costs,and external failure costs.