Question

Schedule of Activity Costs Quality Control Activities Activity Cost Process audits $48,800 Training of machine operators...

Schedule of Activity Costs
Quality Control Activities Activity Cost
Process audits $48,800
Training of machine operators 27,000
Processing returned products 20,600
Scrap processing (disposal) 26,800
Rework 6,400
Preventative maintenance 28,700
Product design 44,100
Warranty work 6,900
Finished goods inspection 22,100

From the above schedule of activity costs, determine the appraisal costs.

a.$118,300

b.$70,900

c.$48,800

d.$170,700

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Answer #1

Appraisal cost = Process audits + Finished goods inspection

= $48800 + 22100

= $70900

Option b. is correct answer.

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