20X1 20X2 20X3

Sales: P1,000,000 Sales: P1,200,000 Sales: P1,400,000

Cost Percentage Cost Percentage Cost Percentage
Prevention ₱ 10,000 1.00% ₱ 50,000 4.17% ₱ 70,000 5.00%
Appraisal ₱ 20,000 2.00% ₱ 30,000 2.50% ₱ 60,000 4.29%
Internal Failure ₱ 160,000 16.00% ₱ 120,000 10.00% ₱ 70,000 5.00%
External Failure ₱ 120,000 12.00% ₱ 100,000 8.33% ₱ 50,000 3.57%
TOTAL ₱ 310,000 31.00% ₱ 300,000 25.00% ₱ 250,000 17.86%

20X4 20X5
Cost Percentage Cost Percentage
Prevention ₱ 80,000 6.67% ₱ 100,000 10.00%
Appraisal ₱ 30,000 2.50% ₱ 10,000 1.00%
Internal Failure ₱ 50,000 4.17% ₱ 24,000 2.40%
External Failure ₱ 40,000 3.33% ₱ 16,000 1.60%
TOTAL ₱ 200,000 16.67% ₱ 150,000 15.00%
Individu
18.00%
16.00%
P
e14.00%
Prevention Appraisal Internal Failure External Failure r
c12.00%
20X1 1.00% 2.00% 16.00% 12.00% e
n10.00%
20X2 4.17% 2.50% 10.00% 8.33% t
20X3 5.00% 4.29% 5.00% 3.57% a 8.00%
g
20X4 6.67% 2.50% 4.17% 3.33% e 6.00%
o
20X5 10.00% 1.00% 2.40% 1.60% f 4.00%
S
a 2.00%
l
e 0.00%
s 20X1 20X2

Prevention Apprai

20X4 20X5
Sales: 1,200,000 Sales: 1,000,000
Costs Percentage Costs Percentage
Prevention ₱ 12,000 1.00% ₱ 10,000 1.00%
Appraisal ₱ 24,000 2.00% ₱ 20,000 2.00%
Internal Failure ₱ 192,000 16.00% ₱ 160,000 16.00%
External Failure ₱ 144,000 12.00% ₱ 120,000 12.00%
TOTAL ₱ 372,000 31.00% ₱ 310,000 31.00%

20X4
Total quality cost without quality improvement program
Err:509
 20X4 20X5
Sales: P1,200,000 Sales: P1,000,000
Cost Percentage Cost Percentage
₱ 80,000 6.67% ₱ 100,000 10.00%
₱ 30,000 2.50% ₱ 10,000 1.00%
₱ 50,000 4.17% ₱ 24,000 2.40%
₱ 40,000 3.33% ₱ 16,000 1.60%
₱ 200,000 16.67% ₱ 150,000 15.00%

Individual Quality Costs

18.00%
16.00%
14.00%
12.00%
10.00%
8.00%
6.00%
4.00%
2.00%
0.00%
20X1 20X2 20X3 20X4 20X5

Prevention Appraisal Internal Failure External Failure