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TB Problem Qu. 12-132 (Static) Rigoletto Company's quality cost... Rigoletto Company's quality cost...

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Accounting

TB Problem Qu. 12-132 (Static) Rigoletto Company's quality cost...

Rigoletto Company's quality cost report is to be based on the following data:

Lost sales due to poor quality $ 24,000
Test and inspection of incoming materials $ 94,000
Rework labor and overhead $ 55,000
Test and inspection of in-process goods $ 32,000
Product recalls $ 47,000
Quality data gathering, analysis, and reporting $ 15,000
Disposal of defective products $ 88,000
Maintenance of test equipment $ 58,000
Quality engineering $ 98,000

Required: Prepare a Quality Cost Report in good form with separate sections for prevention costs, appraisal costs, internal failure costs, and external failure costs.

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