What are the first quarter's total prevention, appraisal, internal failure, and external failure costs each stated as a percent ofthe first quarter's total cost of quality? What are the same four percentages for the second quarter?Note: Round your answers to 1 decimal place.PreventionAppraisalInternal failureExternal failureQuarter 1(%)%%%%Quarter 2(%)%%%% Required informationExcel Analytics 12-01 (Static) Quality Cost Report [LO12-2]To complete this activity, you will need to have Excel installed on your computer. This exercise requires you to work inExcel and answer questions in Connect. You will read a brief scenario and then download an Excel file that you will needto complete the requirements in Parts 1 through 3 of this exercise.Some of the requirements include brief video tutorials on using Excel functions. After viewing the tutorials, you will thenuse what you learned to work directly in Excel to answer the required questions in Connect.[The following information applies to the questions displayed below.]Harvey Company designs and produces surgical lasers. Its product is brilliantly designed, but the manufacturing processhas been plagued by chronic quality control problems. To help address the situation, Harvey formed a cross-functionalteam of managers that quantified its costs of quality over the last two quarters as follows:Cost of testing equipmentCustomer returns of defective goods.Downtime due to quality problemsInspectionNet cost of scrapProduct recallsQuality engineeringRework laborStatistical process controlSupplies used in testingSystems developmentWarranty repairsCosts (in thousands)Quarter 1Quarter 2$270$3,200$600$1,700$800$3,500$1,080$1,400$390$200$1,100$2,770$1,300$600$1,650$1,600$270$40$680$2,800$0$30$120$3,300The company's sales were $95 million in Quarter 1 and $100 million in Quarter 2.

Quality cost includes the cost incurred for prevention of defects, testing, quality assurance and…

Harvey Company designs and produces surgical lasers. Its product is brilliantly designed, but the manufacturing process has been plagued by chronic quality control problems. To help address the situation, Harvey formed a cross-functional team of managers that quantified its costs of quality over the last two quarters as follows: Cost of testing equipment Customer returns of defective goods Downtime due to quality problems Inspection Net cost of scrap Product recalls Quality engineering Rework labor Statistical process control Supplies used in testing Costs (in thousands) Quarter 2 Quarter 1 $270 $3,200 $600 $1,700 $800 $3,500 $1,080 $1,400 $0 $30 (120 $390 $200 $1,100 $2,770 $1,300 $600 $1,650 $1,600 $270 $40 $680

Harvey Company designs and produces surgical lasers. Its product is brilliantly designed, but the manufacturing process has been plagued by chronic quality control problems. To help address the situation, Harvey formed a cross-functional team of managers that quantified its costs of quality over the last two quarters as follows: Cost of testing equipment Customer returns of defective goods Downtime due to quality problems Inspection Net cost of scrap Product recalls Quality engineering Rework labor Statistical process control Supplies used in testing Costs (in thousands) Quarter 2 Quarter 1 $270 $3,200 $600 $1,700 $800 $3,500 $1,080 $1,400 $0 $30 (120 $390 $200 $1,100 $2,770 $1,300 $600 $1,650 $1,600 $270 $40 $680

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

Product Decisions Under Bottlenecked Operations Youngstown Glass Company manufactures three types of safety plate glass: large, medium, and small. All three products have high demand. Thus, Youngstown Glass is able to sell all the safety glass it can make. The production process includes an autoclave operation, which is a pressurized heat treatment. The autoclave is a production bottleneck. Total fixed costs are $167,000 for the company as a whole. In addition, the following information is available about the three products: Large Medium Small Unit selling price $381 $209 $199 Unit variable cost 300 171 175 Unit contribution margin $ 81 $ 38 $ 24 Autoclave hours per unit 6 4 2 Total process hours per unit 18 8 6 Budgeted units of production 2,600 2,600 2,600 a. Determine the contribution margin by glass type and the total company income from operations for the budgeted units of production. Large Medium Small Total Units…
Munabhai
Please help answer attached question, thank you!
LaCroix Company produces handbags from leather of moderate quality. It distributes the product through outlet stores and department store chains. At LaCroix’s facility in northeast Ohio, direct materials (primarily leather hides) are added at the beginning of the process, while conversion costs are added evenly during the process. Given the importance of minimizing product returns, spoiled units are detected upon inspection at the end of the process and are discarded at a net disposal value of zero. LaCroix uses the weighted-average method of process costing. Summary data for April 2017 are as follows: Q.Summarize the total costs to account for; calculate the cost per equivalent unit for each cost category; and assign costs to units completed and transferred out (including normal spoilage), to abnormal spoilage, and to units in ending work in process.
Note:- Do not provide handwritten solution. Maintain accuracy and quality in your answer. Take care of plagiarism. Answer completely. You will get up vote for sure.
Hart Labs, Inc. provides mad cow disease testing for both state and federal governmental agricultural agencies. Because the company's customers are governmental agencies, prices are strictly regulated. Therefore, Hart Labs must constantly monitor and control its testing costs. Shown below are the standard costs for a typical test. Direct materials (2 test tubes @ $1.90 per tube) Direct labor (1 hour @ $30 per hour) Variable overhead (1 hour @ $6.00 per hour) Fixed overhead (1 hour @ $12.00 per hour) Total standard cost per test Direct materials (2,310 test tubes) Direct labor (1,133 hours) Variable overhead Fixed overhead $3.80 $4,158 32,857 6,336 12,672 30.00 6.00 12.00 The lab does not maintain an inventory of test tubes. As a result, the tubes purchased each month are used that month. Actual activity for the month of November 2020, when 1,100 tests were conducted, resulted in the following. $51.80 Monthly budgeted fixed overhead is $16,560. Revenues for the month were $73,700, and…
Shady Fabrication Group (SFG) manufactures components for manufacturing equipment at several facilities. The company produces two, related, parts at its Park River Plant, the models SF-08 and SF-48. The differences in the models are the quality of the materials and the precision to which they are produced. The SF-48 model is used in applications where the precision is critical and thus requires greater oversight in the production process. Although sales remain reasonably strong, managers at SFG have noticed that the company is meeting more resistance to the pricing for SF-08, although there seems to be little need for negotiation on the price of the SF-48 model. As a result, the marketing manager at SFG has asked the financial staff to review the costs of the two products to understand better what might be happening in the market. Manufacturing overhead is currently assigned to products based on their direct labor costs. For the most recent month manufacturing overhead was $212,400.…
Boise, a division of Price Enterprises, currently performs computer services for various departments of the firm. One of the services has created a number of operating problems, and management is exploring whether to outsource the service to a consultant. Traceable variable and fixed operating costs total $103,000 and $48,000, respectively, in addition to $41,000 of corporate administrative overhead allocated from Price. If Boise were to use the outside consultant, fixed operating costs would be reduced by 70%. What are the irrelevant costs in Boise’s outsourcing decision?
Note:- Do not provide handwritten solution. Maintain accuracy and quality in your answer. Take care of plagiarism. Answer completely. You will get up vote for sure.
Cost of Quality Report This year, Finn Corporation implemented programs designed to assess the costs of quality for the company. However, the company recently suffered a data loss, and some of its records have been either partially or completely erased. The accounting intern for Finn Corporation has located a copy of a recent cost of quality report, shown as follows, but the quality activity analysis used to create the report has been lost. Finn Corporation Cost of Quality Report Percent of Total Percent of Quality Cost Classification Quality Cost Quality Cost Total Sales Prevention $161,040 61% 14.6% Appraisal 42,240 16 3.8 Internal failure 34,320 13 3.1 External failure 26,400 10 2.4 Totals $264,000 100% 24.0% Quality Activity Analysis As mentioned on the Cost of Quality Report, Finn Corporation recently suffered a data loss, and some of its records have been lost. After reviewing the Cost of Quality Report, recreate the quality activity analysis in the following table from which the…
Otto Enterprises produces wind turbines. Use the list below to calculate the percent of appraisal cost of the total cost of quality. Equipment maintenance. Inspecting raw materials Product recalls Scrap of defective products Training lean business practices Warranty claims Total cost of quality $ 31,500 45,000 18,500 12,500 26,000 16,500 $ 150,000
LogicCo is a fast-growing manufacturer of computer chips. Direct materials are added at the start of the production process. Conversion costs are added evenly during the process. Some units of this product are spoiled as a result of defects not detectable before inspection of finished goods. Spoiled units are disposed of at zero net disposal value. LogicCo uses the weighted-average method of process costing. Summary data for September 2020 are: (Click the icon to view the data.) Read the requirements. Requirement 1. For each cost category, compute equivalent units. Show physical units in the first column of your schedule. Enter the physical units in first, then calculate the equivalent units. Flow of Production Work in process beginning Started during current period To account for Completed and transferred out during current period Normal spoilage Abnormal spoilage Work in process, ending Accounted for Work done to date Physical Units Requirements 1. For each cost category, compute…