Question : 101. Schedule of Activity Costs Quality Control Activities Activity Cost : 1247005

 

 

101. Schedule of Activity Costs

Quality Control Activities

Activity Cost

Process audits

$55,000

Training of machine operators

26,000

Processing returned products

18,000

Scrap processing (disposal)

29,000

Rework

8,000

Preventative maintenance

30,000

Product design

46,000

Warranty work

12,000

Finished goods inspection

22,000

 

 

From the above Schedule of Activity Costs, determine the nonvalue-added costs. A. $67,000B. $ 8,000C. $20,000D. $49,000

 

102. Schedule of Activity Costs

Quality Control Activities

Activity Cost

Process audits

$55,000

Training of machine operators

26,000

Processing returned products

18,000

Scrap processing (disposal)

29,000

Rework

8,000

Preventative maintenance

30,000

Product design

46,000

Warranty work

12,000

Finished goods inspection

22,000

 

 

From the above Schedule of Activity Costs, determine the value-added costs. A. $125,000B. $149,000C. $179,000D. $22,000

 

103. Schedule of Activity Costs

Quality Control Activities

Activity Cost

Process audits

$55,000

Training of machine operators

26,000

Processing returned products

18,000

Scrap processing (disposal)

29,000

Rework

8,000

Preventative maintenance

30,000

Product design

46,000

Warranty work

12,000

Finished goods inspection

22,000

 

 

From the above Schedule of Activity Costs, determine the internal failure costs. A. $12,000B. $29,000C. $8,000D. $37,000

 

104. Schedule of Activity Costs

Quality Control Activities

Activity Cost

Process audits

$55,000

Training of machine operators

26,000

Processing returned products

18,000

Scrap processing (disposal)

29,000

Rework

8,000

Preventative maintenance

30,000

Product design

46,000

Warranty work

12,000

Finished goods inspection

22,000

 

 

From the above Schedule of Activity Costs, determine the external failure costs. A. $29,000B. $18,000C. $12,000D. $30,000

 

105. Schedule of Activity Costs

Quality Control Activities

Activity Cost

Process audits

$55,000

Training of machine operators

26,000

Processing returned products

18,000

Scrap processing (disposal)

29,000

Rework

8,000

Preventative maintenance

30,000

Product design

46,000

Warranty work

12,000

Finished goods inspection

22,000

 

 

From the above Schedule of Activity Costs, determine the appraisal costs. A. $55,000B. $22,000C. $77,000D. $103,000

 

106. Schedule of Activity Costs

Quality Control Activities

Activity Cost

Process audits

$55,000

Training of machine operators

26,000

Processing returned products

18,000

Scrap processing (disposal)

29,000

Rework

8,000

Preventative maintenance

30,000

Product design

46,000

Warranty work

12,000

Finished goods inspection

22,000

 

 

From the above Schedule of Activity Costs, determine the prevention costs. A. $46,000B. $102,000C. $26,000D. $76,000

 

107. The local college is aggressively working in reducing the time that a student needs to enroll for each semester. All except one of the following changes is helping in their efforts. A. Counselors are specializing in common degree plans.B. One application is good at the Community college and at the transferring University.C. A one stop area includes registration, admissions, advising, and ID’s. Each working closely with each other.D. Reduce the number of degrees being offered.

 

108. The college would like to increase enrollment by following the just-in-time principle by streamlining the enrollment process. Which of the following would not fall in line with the college goal? A. reduce the requirements necessary to enroll.B. relocate counselors, academic advisors, and financial aid specialists for a major to a central location.C. train counselors, academic advisors, and financial aid specialists to serve like majors.D. crosstrain counselors, academic advisors, and financial aid specialists.

 

109. Which of the following statements is correct? A. Costs of controlling quality include prevention and appraisal costsB. Costs of failing to control quality include internal and external failure costsC. A and B are both correctD. A and B are both incorrect.

 

110. All of the following except one are examples of prevention costs A. preventive maintenanceB. operator trainingC. design engineeringD. testing activities

 

 

111. The following are examples of external failure costs except A. warranty workB. returned merchandiseC. reworkD. correcting invoice errors

 

112. Which of the following statements best describes the relationship between costs of quality? A. The more that is spent on prevention and appraisal costs, the overall costs of quality will be reducedB. The more that is spent on prevention and appraisal costs, the overall costs of quality will remain the same.C. Overtime prevention and appraisal costs will eliminate all internal and external costs.D. Internal and external costs will increase as prevention and appraisal costs increase.

113. The following are examples of nonvalue added activities except A. inspectionsB. reworkC. preventive maintenanceD. warranties

 

 

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