In 20X3, Spring Company initiated a quality improvement program.At the end of the year, December...

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Accounting

In 20X3, Spring Company initiated a quality improvement program.At the end of the year, December 31st,the president noted that the defects per unit of product had dropped significantly compared to the prior year.The president also noted the good relationships with suppliers had improved and defective materials had declined.The new quality training program was also accepted by employees. The president also highlighted the impact of the quality improvements on profitability.To help assess the dollar impact of the quality improvements, the actual sales and the actual quality costs for 20X2 and 20X3 are as follows: All prevention costs are fixed.Assume all other quality costs variable.

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