Bradford Inc.
Bradford Inc. manufactures and sells digital cameras. Bradford’s management team has begun an intensive program whereby more time and effort are to be focused on product quality than were focused on in the past. The following data has been compiled regarding expected quality costs in the upcoming year:
$$\begin{array} { l r }
\text { Product quality audits } & \$ 60000 \
\text { Quality training } & 50000 \
\text { Rework costs } & 80000 \
\text { Warranty claims } & 40000 \
\text { Inspection of incoming materials } & 25000 \
\text { Scrap costs } & 20000 \
\text { Statistical process control } & 35000
\end{array}$$
-What are Bradford's total prevention costs?

Question

Bradford Inc.
Bradford Inc. manufactures and sells digital cameras. Bradford’s management team has begun an intensive program whereby more time and effort are to be focused on product quality than were focused on in the past. The following data has been compiled regarding expected quality costs in the upcoming year:
$$\begin{array} { l r } 
\text { Product quality audits } & \$ 60000 \
\text { Quality training } & 50000 \
\text { Rework costs } & 80000 \
\text { Warranty claims } & 40000 \
\text { Inspection of incoming materials } & 25000 \
\text { Scrap costs } & 20000 \
\text { Statistical process control } & 35000
\end{array}$$
-What are Bradford's total prevention costs?

Quizplus · Accepted Answer

Prevention costs include quality training and statistical process control, totaling $50,000 + $35,000 = $85,000.

Bradford Inc -What Are Bradford's Total Prevention Costs? A) $ 50 000

Bradford Inc -What Are Bradford's Total Prevention Costs?
A) $ 50 000