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Calculate the ratio of prevention to failure costs, based on the information pr...
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Calculate the ratio of prevention to failure costs, based on the information provided below.
Failure costs
| |
Defective products
|
R 5,500.00
|
Engineered scrap
|
R 17,354.00
|
Nonengineered scrap
|
R 122,567.00
|
Consumer adjustments
|
R 633,000.00
|
TOTAL
|
R 778,421.00
|
Prevention costs
| |
Quality training
|
R 15,500.00
|
Product redesign
|
R 17,000.00
|
Process engineering:
* Corporate
* Plant
|
R 125,745.00
R 40,000.00
|
TOTAL
|
R 198,245.00
|
Appraisal costs
| |
Receiving inspection
|
R 35,600.00
|
Line 1 inspection
|
R 43,526.00
|
Line 2 inspection
|
R 55,679.00
|
Spot checking
|
R 62,000.00
|
TOTAL
|
R 196,805.00
|