Walton Company has measured its quality costs for the past two years. After the company...
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Walton Company has measured its quality costs for the past two years. After the company gathers its quality cost data, it summarizes those costs using the four categories shown below: Prevention costs Appraisal costs Internal failure costs External failure costs Last Year $ 339,200 $ 476,200 $ 750,500 $1,034,000 This Year $ 643,500 $ 545,000 $ 470,000 $ 680,000 Required: 1. Calculate the total cost of quality last year and this year. Last Year This Year Total cost of quality . 2. For last year, calculate the cost in each of the four categories as a percent of the total cost of quality. (Round your percentage answers to 1 decimal place.) Last Year % % Prevention costs Appraisal costs Internal failure costs External failure costs Total percent % % 0.0 % 3. For this year, calculate the cost in each of the four categories as a percent of the total cost of quality. (Round your percentage answers to 1 decimal place.) This Year % % Prevention costs Appraisal costs Internal failure costs External failure costs Total percent % % 0.0 % 4a. Calculate the change in total cost of quality over the two-year period. Prevention and appraisal activities Internal and external failure costs The total cost of quality 4b. Is performance trending in a favorable or unfavorable direction? O Favorable O Unfavorable
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