Financial & Managerial Accounting
Financial & Managerial Accounting
18th Edition
ISBN: 9781260006520
Author: williams
Publisher: MCG
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Chapter 19, Problem 4BP

a.

To determine

Prepare a cost of quality report for Incorporation N covering year 1 and year 2.

b.

To determine

State the way in which of total amounts of prevention and external failure costs changed over the two year and mention some possible explanations for these changes.

c.

To determine

State whether the decrease in repair costs justifies the increase in maintenance costs.

d.

To determine

Ascertain the reason for which the Incorporation N’s estimate of lost sales remains the same despite the adoption of the total quality management program.

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Financial & Managerial Accounting

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