The CEO of Toronto Auto Parts TAP is concerned with the qual

The CEO of Toronto Auto Parts (TAP) is concerned with the quality of its products and the amount of resources c like to analyze the costs incurred in conjunction with the quality of the product EE (click the icon to view the information collected.) Requirements Requirement 1. Prepare a Cost of Quality Report. In addition to listing the costs by category, determine the perce cost category Let\'s complete the Cost of Quality Report by selecting the labels, costs, and total costs. In the next step, we will cE incurred in each cost category. (Round the percentage of total costs of quality to the nearest tenth.) Cost of Quality Report for Toronto Auto Parts (TAP) Total Costs Percentage of total of Qualitycosts of quality Costs Prevention Costs Personnel training $ 9,300 $9,300 Total prevention costs Appraisal Costs: Inspecting 10% of final products Inspection of raw materials $9,000 5,400 14,400 Total appraisal costs Internal Failure Costs Rework Production loss due to machine breakdowns $ 9,600 47,000 Total internal failure costs External Failure Costs: Warranty return costs Litigation costs from product liability claims Total external failure oosts Total Costs of Quality 56,600 $ 126,000 176.000 302,000 S 382,300 100

Solution

Cost of Quality Report for toronto Auto parts (TAP) Costs Total Costs of Quality Persentage of Total cost of Quality Calculation prevention costs personnel training $             9,300 Total Prevention Costs $                                      9,300 2.4% $9300/$382300 Appraisal Costs Inspecting 10% of final products $             9,000 inspection of raw materials $             5,400 Total Appraisal Costs $                                    14,400 3.8% $14,400/$382300 Internal failure Costs Rework $             9,600 production Loss Due to machine breakdown $           47,000 Total internal failure Costs $                                    56,600 14.8% $56,600/$382300 External failure Costs Warranty return Costs $       1,26,000 Litigation costs From product liability Claims $       1,76,000 Total external failure Costs $                                3,02,000 79.0% $302,000/$382300 Total Costs of Quality $                                3,82,300 100.0% $382,300/$382300