- What Will Be the Total Prevention Cost Appearing on based

question 78

Multiple Choice

$\begin{array}{l}\text { Eagan Company's quality cost report is to be based on the following data: }\\\begin{array} { | l | r | } \hline \text { Quality training } & \$ 75,000 \\\hline \text { Lost sales due to poor quality } & \$ 94,000 \\\hline \text { Test and inspection of in-process goods } & \$ 37,000 \\\hline \text { Test and inspection of incoming materials } & \$ 65,000 \\\hline \text { Disposal of defective products } & \$ 86,000 \\\hline \text { Quality data gathering, analysis, and reporting } & \$ 92,000 \\\hline \text { Net cost of spoilage } & \$ 27,000 \\\hline \text { Supervision of testing and inspection activities } & \$ 10,000 \\\hline \text { Product recalls } & \$ 38,000 \\\hline\end{array}\end{array}$
- What will be the total prevention cost appearing on the quality cost report?

• A) $102,000.
• B) $112,000.
• C) $130,000.
• D) $167,000.

Acknowledge how market forces of supply and demand guide resource allocation and industry size.

Comprehend the principle of the "invisible hand" and its implications on economic efficiency and public interest.

Identify and understand the phenomenon of "creative destruction" and its role in market innovation and progress.

Recognize the mechanisms through which market economies resolve basic economic questions regarding production, distribution, and consumption.

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Definitions:

Evidence-based Management

An approach to management that emphasizes the practical application of the best available evidence from multiple sources to improve decision-making and organizational outcomes.

Decisions

The act or process of making choices or selecting an option from available alternatives.

Conscientious

A personality trait characterized by being diligent, careful, and meticulous in one’s work or duties.

Evidence

Information or facts that are used to support the validity of an assertion or conclusion.