If a company were to increase its appraisal costs by inspecting more units as the units are completed,the company's external failure costs:
A)would usually increase.
B)would usually decrease.
C)would usually remain the same.
D)could not be predicted.

Question

Quizplus · Accepted Answer

Increasing appraisal costs by inspecting more units typically leads to a decrease in external failure costs, as defects are caught and corrected before the product reaches the customer.

If a Company Were to Increase Its Appraisal Costs by Inspecting