The process of measuring, monitoring, and minimizing prevention, appraisal, internal failure, and external failure costs is:

Question

Quizplus · Accepted Answer

The process of measuring, monitoring, and minimizing prevention, appraisal, internal failure, and external failure costs is referred to as cost of quality. It involves identifying the cost of poor quality and taking steps to reduce these costs. Activities that are part of cost of quality include inspection, testing, training, and process improvement. Cost of quality is an important tool for organizations that want to improve their product quality, reduce defects, and increase customer satisfaction. Option A, activity-based costing, is a cost accounting method used to allocate indirect costs to products or services. Option C, just-in-time, is a production strategy that focuses on reducing inventory and increasing efficiency. Option D, prevention costing, is a process of identifying and preventing defects before they occur. While all of these options may be related to quality, none of them specifically address the process of measuring, monitoring, and minimizing quality costs.

The Process of Measuring, Monitoring, and Minimizing Prevention, Appraisal, Internal