Question

Quality data gathering, analysis, and reporting $59,000 Testing and inspection of incoming materials $48,000 Final product testing and inspection $27,000 Depreciation of test equipment $30,000 Cost of field servicing and handling complaints $52,000 Disposal of defective products $13,000 Downtime caused by quality problems $52,000 Technical support provided to suppliers $18,000 Returns arising from quality problems $39,000 Eagle Company's quality cost report is to be based on the data shown. What would be the total appraisal cost appearing on the quality cost report? Question 17 options: A) $78,000 B) $75,000 C) $105,000 D) $100,000

Answer 1

$75,000

Step-by-step explanation:

Calculation for What would be the total appraisal cost appearing on the quality cost report

Total Appraisal cost= Addition of

Testing and inspection of incoming materials and Final product testing and inspection

Hence ,

Total Appraisal cost =Testing and inspection of incoming materials $48,000 + Final product testing and inspection $27,000

Total Appraisal cost =$75,000

Therefore the Total Appraisal cost appearing on the quality cost report will be $75,000