Four categories of costs associated with product quality are:
A)External failure,internal failure,prevention,and carrying.
B)External failure,internal failure,prevention,and appraisal.
C)External failure,internal failure,training,and appraisal.
D)Warranty,product liability,prevention,and training.

Question

Quizplus · Accepted Answer

The four categories of costs associated with product quality are external failure costs (costs incurred after the product has been delivered to the customer), internal failure costs (costs incurred prior to delivery due to defects in the product), prevention costs (costs incurred in preventing defects from occurring), and appraisal costs (costs incurred in evaluating the quality of the product). Choice B correctly identifies these four categories of costs. Choices A, C, and D either include incorrect categories of costs or fail to include all four categories.

Four Categories of Costs Associated with Product Quality Are