The cost of product liability claims comes under which category of costs?
A) Appraisal cost
B) Prevention cost
C) Internal failure cost
D) External failure cost

Question

Quizplus · Accepted Answer

The cost of product liability claims comes under the category of external failure costs, which are costs incurred after a defect causes harm or injury to a customer, resulting in legal action and/or compensation.

The Cost of Product Liability Claims Comes Under Which Category