Question

Ramos Company makes dog beds. Last year Ramos incurred the following costs related to quality control. What is Ramos Company's cost of quality for internal failures?

1. Repairs for dog beds under warranty	2,499
2. Seamstress training	875
3. Wages of part-time inspector of products	1,349
4. Cost of replacements given to customers for defective dog beds	1,733
5. Product liability insurance	3,659
6. Inspection of sewing machines as part of routine maintenance	2,581
7. Inspection of fabric and thread for defects	1,610
8. Repairing defective dog beds prior to sale	1,581

Answer 1

Cost of quality for internal failures = Repairing defective dog beds prior to sals = $1,581 Comment if you face any issues