Farm Fresh Dairy Provided the Following Expense Information for May

question 172

Multiple Choice

Farm Fresh Dairy provided the following expense information for May: $$\begin{array} { | l | r | } \hline \text { Assembly-line warkers' wages } & \$ 72,000 \\\hline \text { Caps for milk bottles } & 2,000 \\\hline \text { Reconfigurig the assembly line } & 155,000 \\\hline \text { Custamer support hotline } & 8,000 \\\hline \text { Delivery expenses } & 17,000 \\\hline \text { Depreciation an factory equipment } & 81,000 \\\hline \text { Plastic milk bottles } & 52,000 \\\hline \text { Salaries of salespegple } & 63,000 \\\hline \text { Salaries of research scientists } & 84,000 \\\hline \text { Custamer toll-free order line } & 4,000 \\\hline\end{array}$$
- What is the total cost for the marketing category of the value chain?

• A)$227,000
• B)$218,000
• C)$67,000
• D)$311,000

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Definitions:

Quality Function Deployment

A systematic approach to design based on a close awareness of customer desires, translating those desires into the target design.

Product Performance

Evaluates how well a product meets expected standards and satisfies customer needs in terms of quality, reliability, and functionality.

Deploying Quality

The process of implementing and maintaining a level of excellence in products, services, and processes within an organization.

Total Costs

The sum of all expenses incurred in the production of goods or services, including fixed and variable costs.