If a company were to decrease its prevention costs by eliminating employee training, the company's external failure costs would most likely
A)increase.
B)decrease.
C)remain the same.
D)Unable to predict

Question

Quizplus · Accepted Answer

Eliminating employee training would likely result in a higher rate of errors or quality issues, which would increase the likelihood of external failure costs such as customer complaints, returns, and repairs. Therefore, reducing prevention costs without careful consideration of the impact on quality could ultimately lead to increased external failure costs.

If a Company Were to Decrease Its Prevention Costs by Eliminating