Assume that the cost data available for a certain period are limited to the following:

$20,000 - final test
350,000 - field warranty costs
170,000 - reinspection and retest
45,000 - inventory reallocation
4,000 - vendor quality surveys
30,000 - rework

The total quality cost is

Question

Assume that the cost data available for a certain period are limited to the following:

$20,000 - final test
350,000 - field warranty costs
170,000 - reinspection and retest
  45,000 - inventory reallocation
    4,000 - vendor quality surveys
  30,000 - rework

The total quality cost is

BlackTom AI · Accepted Answer

The question asks us to compute the total quality cost using the given data for a specific period. We should add up all the costs provided to obtain the total.

Option A: $621,000. This value is not the sum of the listed items. If we try to reconstruct, we would be adding an extra 2,000 beyond the actual totals, which suggests a miscalculation or a misprint rather than a valid aggregation of the given figures.

Option B: $576,000. This figure is also not aligned with the raw totals. It appears to undercount somewhere, perhaps by omitting or mis-summing one of the components, but it does not match the exact sum of the numbers provided.

Option C: $619,000. Let’s verify by summing each line item: 20,000 (final test) + 350,000 (field warranty costs) = 370,000; 370,000 + 170,000 (reinspection and retest) = 540,000; 540,000 + 45,000 (inventory reallocation) = 585,000; 585,000 + 4,000 (vendor quality surveys) = 589,000; 589,000 + 30,000 (rework) = 619,000. This matches the total of all provided costs exactly, so this option reflects the correct aggregate.

Option D: $574,000. This sum is also not correct for the given data; it would require omitting or misplacing one or more costs, which would not be consistent with simply adding all listed items.

Across all options, the only one that exactly reproduces the arithmetic of all the listed costs is $619,000. None of the other options align with the precise total derived from the provided figures. The discrepancy in the other choices typically indicates a common calculation slip such as forgetting a line item, double-counting, or a misprint.

In summary, when you add all six line items—20,000; 350,000; 170,000; 45,000; 4,000; and 30,000—the result is 619,000, making the corresponding option the accurate total for the quality costs given.

ISE 4120 SP2025 (10663) QCI Chapter 3 Quiz

Assume that the cost data available for a certain period are limited to the following: $20,000 - final test 350,000 - field warranty costs 170,000 - reinspection and retest 45,000 - inventory reallocation 4,000 - vendor quality surveys 30,000 - rework The total quality cost is

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Costs associated with avoiding, finding, making and repairing defects and errors, including the costs associated with selling defective products to customers are terms used to represent which of the following costs?

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