4-70. Ponderosa Paint and Glass makes paint at three plants. It
then ships the unmarked paint cans to a central
warehouse. Plant A supplies 50% of the paint, and past
records indicate that the paint is incorrectly mixed 10%
of the time. Plant B contributes 30%, with paint mixed
incorrectly 5% of the time. Plant C supplies 20%, with
paint mixed incorrectly 20% of the time. If Ponderosa
guarantees its product and spent $10,000 replacing
improperly mixed paint last year, how should the cost be
distributed among the three plants?
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