52. Chipmunk Company manufactures and sells food processors. A popular consumer magazine has recently evaluated food processors and has ranked Chipmunk’s processors as being “poor quality”. As a result, Chipmunk’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 Cost                                                   P80,000 Quality Training                                            75,000 Warranty Claims                                           100,000 Rework Costs                                                50,000 Inspection of incoming materials                  30,000 Product quality audits                                   60,000   What is Chipmunk’s total appraisal costs?

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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52. Chipmunk Company manufactures and sells food processors. A popular consumer magazine has recently evaluated food processors and has ranked Chipmunk’s processors as being “poor quality”. As a result, Chipmunk’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 Cost                                                   P80,000

Quality Training                                            75,000

Warranty Claims                                           100,000

Rework Costs                                                50,000

Inspection of incoming materials                  30,000

Product quality audits                                   60,000

 

What is Chipmunk’s total appraisal costs?

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