Lawn Solutions, Inc.
Lawn Solutions, Inc. has just finished its first year of business. Lawn Solutions, Inc. makes decorative outdoor furniture. The firm manufactured 2,500 pieces of furniture during the year: 2,400 were sold at garden centers for $456,000; 100 pieces were defective and could only be sold as scrap metal (25 pounds each and can be sold for $2.50 per pound). No defective units could be reworked. During the year the following costs were incurred:
Refer to Lawn Solutions, Inc. Compute the total quality cost incurred by the company during the first year of operations.
Correct Answer:
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