Internal Reports on Quality at the Acme Publishing Company Generated

question 24

Multiple Choice

Internal reports on quality at the Acme Publishing Company generated the following information for the Trade Division for the first three months of the year:
$\begin{array}{ll}\text { Total sales }&\$1,000,000\\\text { Costs of quality: }\\\text { Prevention } & 44,000 \\\text { Appraisal } & 47,000 \\\text { Internal failure } & 36,000 \\\text { External failure } & 64.000\end{array}$
Compute the ratio of costs of conformance to total costs of quality.

• A) 44.6%
• B) 47.6%
• C) 50.1%
• D) 100%

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Definitions:

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