StatPro Corporation
StatPro Corporation Is a Manufacturer of a Versatile

question 26

Multiple Choice

StatPro Corporation
StatPro Corporation is a manufacturer of a versatile statistical calculator.The following information is a summary of defective and returned units for the previous year.
$\begin{array}{ll}\text { Total defective units } & 1,000 \\\text { Number of units reworked } & 750 \\\text { Number of customer units returned } & 150 \\\text { Profit for a good unit } & \$ 40 \\\text { Profit for a defective unit } & \$ 25 \\\text { Cost to rework a defective unit } & \$ 10 \\\text { Cost of a returned unit } & \$ 15 \\\text { Total prevention cost } & \$ 10,000 \\\text { Total appraisal cost } & \$ 5,000\end{array}$

Refer to StatPro Corporation.The cost of processing customer returns is

• A)$9,000.
• B)$2,500.
• C)$22,500.
• D)$2,250.

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Definitions:

Monetary Awards

Financial rewards given to employees or organizations as recognition for achievements or meeting particular standards.

First-Year Savings

The amount of money saved during the first year of implementing a particular strategy, policy, or change.

Preventive Discipline

A proactive approach to discipline that focuses on identifying and addressing issues before they escalate into serious problems.

Infraction

A violation or infringement of a rule, agreement, or law.