Using the data provided in the chart, what is the total annual cost?

The correct answer is B, 6,200, based on summing the cost elements shown in the provided chart. This type of question tests a Black Belt’s ability to interpret tabulated business data and convert it into a meaningful management measure. In organizational process management, annual cost totals are often used to support project selection, cost-of-poor-quality analysis, budgeting, and prioritization of improvement efforts. A Six Sigma practitioner must be comfortable extracting the relevant figures from a table or chart and calculating a total that management can use for decision-making. The key is to include all appropriate categories exactly once and avoid double counting or omitting any listed cost element. Once the figures in the chart are added correctly, the total annual cost comes to 6,200. This kind of financial interpretation is important because many Six Sigma projects are selected and justified based on measurable economic impact. Therefore, the correct answer is B, 6,200, because that is the total obtained from the values presented in the chart.

===========