There are various costs associated with quality control,or its absence in a production operation.Such information can help a company determine the effects of actions taken to improve production and identify areas of improvement.The cost of a product liability claim can be classified as a(n)
A)prevention cost.
B)inspection cost.
C)internal failure cost.
D)external failure cost.

Question

Quizplus · Accepted Answer

Product liability claims occur when a product has a defect or is unsafe, leading to harm or injury to the user. This falls under the category of external failure cost, which refers to costs incurred after a product has been delivered that result from customer complaints or product recalls.

There Are Various Costs Associated with Quality Control,or Its Absence