Answer:
Following is the classification of the costs associated with each of these activities that is prevention cost, appraisal cost, internal failure cost, or external failure cost.
(a) Product testing - Appraisal Cost
(b) Product recall - External Failures
(c) Product design - Prevention cost
(d) Quality circle - Prevention cost
(e) Inspection of goods - Appraisal Cost
Explantion cost:
Appraisal costs are costs incurred to detect defects in the poduct produce. Prevention cost are cost incurred to prevent detects in the product produce.
Internal failure costs are costs incurred to remove defects found before the customer receives the product or service. External failure costs are costs incurred to remove defects found after the customer receives the product or service.
There are six parts pdlf 2:21
Answer:
Assuming Simon’s AGI is $40,000.
Gambling losses are only deductible to the extent of gambling winnings. Thus,Simon cannot deduct any of the $4,300 gambling losses. The $3,160 transportation expenses are also nondeductible as they are deemed to be personal expenses. The $2,650 broker management fees are deductible as investment fees (miscellaneous itemized deductions subject to the 2% AGI floor), and the $1,030 tax return fees are also deductible as miscellaneous itemized deductions subject to the 2% AGI floor.
Thus, $2,650 + $1,030 – (2% x $40,000 AGI) = $2,880 deduction