The cost of scrap, rework, and tooling changes in a Cost of Quality (COQ) Report are properly categorized as a(n):
A) Training cost.
B) External failure cost.
C) Prevention cost.
D) Internal failure cost.
E) Appraisal cost.

Question

Quizplus · Accepted Answer

Scrap, rework, and tooling changes represent defects that have already occurred in the production process, making them examples of internal failure costs in a Cost of Quality (COQ) Report. These costs relate to the expenses incurred to correct or dispose of defective products, such as time and effort spent on repair or replacement of the non-conforming products.

The Cost of Scrap, Rework, and Tooling Changes in a Cost