Ealsy Company”s quality cost report is to be based on the following data:
|
Maintenance of test equipment |
$95,000 |
|
Cost of field servicing and handling complaints |
$17,000 |
|
Statistical process control activities |
$77,000 |
|
Net cost of scrap . |
$62,000 |
|
Downtime caused by quality problems . |
$23,000 |
|
Technical support provided to suppliers |
$93,000 |
|
Depreciation of test equipment |
$81,000 |
|
Supplies used in testing and inspection |
$33,000 |
|
Warranty repairs and replacements |
$24,000 |
What would be the total prevention cost appearing on the quality cost report?
A) $172,000
B) $170,000
C) $174,000
D) $94,000