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Environmental Cost Report

At the end of 20x5, Bing Pharmaceuticals began to implement an environmental quality management program. As a first step, it identified the following costs in its accounting records as environmentally related for the calendar year just ended:

	20x5
Settling personal injury claims	$3,000,000
Treating and disposing of toxic waste	12,000,000
Cleanup of chemically contaminated soil	4,500,000
Inspecting products and processes	1,500,000
Operating pollution control equipment	2,100,000
Licensing facilities for producing contaminants	900,000
Evaluating and selecting suppliers	300,000
Developing performance measures	150,000
Recycling products	187,500

Required:

1. Prepare an environmental cost report by category. Assume that total operating costs are $150,000,000. Round percentages to two decimal places, if rounding is required. For example, 5.79% would be entered as "5.79".

Bing Pharmaceuticals
Environmental Cost Report
For the Year Ended December 31, 20x5
	Environmental Costs	Total	Percentage of Operating Costs
Prevention costs:
Evaluating/selecting suppliers	$fill in the blank 27bdddfd9f94fe1_2
Recycling products	fill in the blank 27bdddfd9f94fe1_4	$fill in the blank 27bdddfd9f94fe1_5	fill in the blank 27bdddfd9f94fe1_6%
Detection costs:
Inspecting products/processes	$fill in the blank 27bdddfd9f94fe1_8
Developing performance measures	fill in the blank 27bdddfd9f94fe1_10	fill in the blank 27bdddfd9f94fe1_11	fill in the blank 27bdddfd9f94fe1_12%
Internal failure costs:
Treating/disposing toxic waste	$fill in the blank 27bdddfd9f94fe1_14
Operating equipment	fill in the blank 27bdddfd9f94fe1_16
Licensing facilities	fill in the blank 27bdddfd9f94fe1_18	fill in the blank 27bdddfd9f94fe1_19	fill in the blank 27bdddfd9f94fe1_20%
External failure costs:
Settling claims	$fill in the blank 27bdddfd9f94fe1_22
Cleanup of soil	fill in the blank 27bdddfd9f94fe1_24	fill in the blank 27bdddfd9f94fe1_25	fill in the blank 27bdddfd9f94fe1_26%
Total quality costs		$fill in the blank 27bdddfd9f94fe1_27	fill in the blank 27bdddfd9f94fe1_28%

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