The following table lists all costs of quality incurred by Sam's Surf Shop last year. What was Sam's appraisal cost for quality last year?
Annual inspection costs $ 155,000
Annual cost of scrap materials $ 286,000
Annual rework cost $ 34,679
Annual cost of quality training $ 456,000
Annual warranty cost $1,546,000
Annual testing cost $ 543,000
The appraisal cost for quality would include annual inspection costs ...
The solution provides a breakdown of the calculation needed to determine the total appraisal costs for quality last year at Sam's Surf Shop.