Eade Company's quality cost report is to be based on the following data:

-What will be the total appraisal cost appearing on the quality cost report?
A) $70,000.
B) $97,000.
C) $110,000.
D) $119,000.

Question

Eade Company's quality cost report is to be based on the following data:

-What will be the total appraisal cost appearing on the quality cost report?
A) $70,000. 
B) $97,000. 
C) $110,000. 
D) $119,000.

Quizplus · Accepted Answer

Total appraisal cost = Internal failure appraisal cost + External failure appraisal cost 
= $50,000 + $60,000 
= $110,000. Therefore, option C is correct.

Eade Company's Quality Cost Report Is to Be Based on the Following