Quality Cost Report Evans Company had total sales of $4,500,000 for fiscal 20x5. The costs...

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Accounting

Quality Cost Report

Evans Company had total sales of $4,500,000 for fiscal 20x5. The costs of quality-related activities are given below.

Returns/allowances $180,000
Design changes 315,000
Prototype inspection 13,500
Downtime 247,500
Quality circles 18,000
Packaging inspection 18,000
Field testing 9,000
Complaint adjustment 292,500

Required:

1. Prepare a quality cost report, classifying costs by category and expressing each category as a percentage of sales. Round percentages to one decimal place, when rounding is required. For example, 5.78% would be entered as "5.8".

Evans Company
Quality Cost Report
For the Year Ended 20x5
Quality Costs Total Percentage of Sales
Prevention costs:
Quality circles $
Design changes $ %
Appraisal costs:
Prototype inspection $
Packaging inspection
Internal failure costs:
Field testing $
Downtime
External failure costs:
Returns/allowances $
Complaint adjustment
Total quality costs $ %

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