Pollenti Company Has Just Merged with Another Industrial Firm Whose

question 98

Multiple Choice

Pollenti Company has just merged with another industrial firm whose business had been failing. Pollenti immediately conducted a thorough study of the new company's work processes, and produced a report including the data shown below:
• A new inspection process is recommended to minimize defective raw materials. It would cost $12,000 to implement.
• Shoddy business practices are resulting in excessive warranty costs $15,000 more than normal due mainly to material failure.
• Reengineering of the assembly line will increase productivity. It would cost $18,000 to implement.
• Inefficient workplace design is costing $5,000 in unnecessary rework costs.
• Estimated amount of lost profits due to dissatisfied customers who turn to the competition is $80,000.
-
Based on the above, what is the amount of internal failure costs, if any, included here?

• A) $5,000
• B) $12,000
• C) $15,000
• D) Zero

---

Definitions:

Distaste

A general feeling of dislike or aversion towards something or someone.

Cultural Appropriation

The adoption of elements of one culture by members of another culture, often without understanding, respect, or acknowledgment of the original context and meaning.

White Gaze

The perspective or lens through which white people view individuals of other races, often reflecting inherent biases or assumptions.

Exoticize

The act of romanticizing or characterizing a culture, people, or geographical region as exotic or foreign in a simplistic or stereotypical way.