HERA Corporation incurred the following quality costs for the year ended 2024: Cost of quality training $10,569 Cost of rework labor and overhead $14,498 Cost of field servicing $12,905 Cost of recalled product $10,209 Downtime due to rework $10,018 Product testing $11,289 Inspection of goods $13,920 Warranty replacements $14,348 Quality engineering $12,244
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SHERA Corporation incurred the following quality costs for the year ended 2024:
|
Cost of quality training |
$10,569 |
|
Cost of rework labor and overhead |
$14,498 |
|
Cost of field servicing |
$12,905 |
|
Cost of recalled product |
$10,209 |
|
Downtime due to rework |
$10,018 |
|
Product testing |
$11,289 |
|
Inspection of goods |
$13,920 |
|
Warranty replacements |
$14,348 |
|
Quality engineering |
$12,244 |
Determine the total prevention cost.
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- NOT GRADED PLEASE provide details on calculations so I understand Steampunk Corporation has the following predicted indirect costs and cost drivers for 2019 for the given activity cost pools: FabricationDepartment FinishingDepartment Cost Driver Maintenance $ 42,000 21,000 Machine hours Materials handling 63,000 31,500 Material moves Machine 147,000 10,500 Machine setups Inspections - 52,500 Inspection hours Total $ 252,000 $ 115,500 The following activity predictions were also made for the year: FabricationDepartment FinishingDepartment Machine hours 5,000 2,500 Material moves 1,500 750 Machine setups 350 25 Inspection hours - 500 It is assumed that the cost per unit of activity for a given activity does not vary between departments. Steampunk's president, Abner Punk, is trying to evaluate the company's product mix strategy regarding two of its product models, SW100 and SG150. The company has been using a company wide overhead rate…Eagleson Company's quality cost report is to be based on the following data: Net cost of scrap $ 75,000 Liability arising from defective products $ 32,000 Warranty repairs and replacements $ 80,000 Re-entering data because of keying errors $ 75,000 Supplies used in testing and inspection $ 18,000 Quality data gathering, analysis, and reporting $ 62,000 Final product testing and inspection $ 21,000 Test and inspection of in-process goods $ 44,000 Systems development $ 45,000 What would be the total appraisal cost appearing on the quality cost report?During the current year, Pitt Company incurred costs to develop and produce a routine, low-risk computer software product. 1,300,000 Completion of detailed program design Costs incurred for coding and testing to establish technological feasibility Other coding costs after establishment of technological feasibility Other testing costs after establishment of technological feasibility Costs of producing product masters for training materials Duplication of computer software and training materials from product masters (1,000 units) Packaging product (500 units) 3. In the year-end statement of financial position, what amount should be capitalized as software cost? 1,000,000 2,400,000 2,000,000 1,500,000 2,500,000 900,000 a. 5,400,000 b. 5,700,000 c. 5,900,000 d. 6,900,000
- Calculate the total cost of Appraisal activities. Design Reviews $275,000 Finished goods returned due to failure $55,000 Freight on replacement finished goods $27,000 Labor for inspection during manufacturing $75,000 Labor for inspection of raw materials $32,000 Product Testing – Labor $63,000 Rework -labor and overhead $150,000 Materials for Warranty repairs $68,000 Process Engineering $180,000 Product Liability Claims $145,000 Product Testing – Equipment $35,000 Equipment Repairs due to breakdown…Determine the Manufacturing Overhead Based on the given information, determine the Purchases EFS Systems undertakes its own machine maintenance. The depreciation on the equipment is P20,000 per year and operating cost is P2 per machine hour. Last year 275,000 machine hours were used to produce 100,000 units. Determine the Prime Cost Determine the Finished Goods, Beginning Determine the Conversion Cost Determine the Manufacturing Cost Determine the Finished Goods, EndingSchedule of Activity Costs Quality Control Activities Activity Cost Product testing $55,000 Assessing vendor quality 26,000 Recalls 18,000 Rework 29,000 Scrap disposal 8,000 Product design 30,000 Training machine operators 46,000 Warranty work 12,000 Process audits 22,000 From the above schedule, calculate the (a) value-added and (b) non-value-added costs.
- The following table lists all costs of quality incurred by Sam’s Surf Shop last year. What was Sam’s appraisal cost for quality last year?Annual inspection costs $ 155,000Annual cost of scrap materials 286,000Annual rework cost 34,679Annual cost of quality training 456,000Annual warranty cost 1,546,000Annual testing cost 543,000The cost data for Evencoat Paint for the year 2019 is as follows: Month Gallons ofPaintProduced EquipmentMaintenanceExpenses January 110,000 $70,700 February 68,000 66,800 March 71,000 67,000 April 77,000 68,100 May 95,000 69,200 June 101,000 70,300 July 125,000 70,400 August 95,000 68,900 September 95,000 69,500 October 89,000 68,600 November 128,000 72,800 December 122,000 71,450 A. Using the high-low method, express the company’s maintenance costs as an equation where x represents the gallons of paint produced. Then estimate the fixed and variable costs. Fixed cost $fill in the blank 1 Variable cost $fill in the blank 2 B. Predict the maintenance costs if 90,000 gallons of paint are produced. Maintenance cost $fill in the blank 3 C. Predict the maintenance costs if 81,000 gallons of paint are produced. Maintenance cost $fill in the…Walton Company has measured its quality costs for the past two years. After the company gathers its quality cost data, it summarizes those costs using the four categories shown below: Last Year This Year Prevention costs $ 357,000 $ 650,000 Appraisal costs $ 445,000 $ 545,000 Internal failure costs $ 790,000 $ 500,000 External failure costs $ 1,100,000 $ 680,000 Required:1. Calculate the total cost of quality last year and this year. 2. For last year, calculate the cost in each of the four categories as a percent of the total cost of quality. (Round your answers to 1 decimal place.) 3. For this year, calculate the cost in each of the four categories as a percent of the total cost of quality. (Round your answers to 1 decimal place.) 4-a. Calculate the change in total cost of quality over the two-year period. 4-b. Is performance trending in a favorable or unfavorable direction?multiple choice Favorable Unfavorable
