Which of the Four Major Categories of Quality Costs Is

question 7

Multiple Choice

Which of the four major categories of quality costs is particularly hard to quantify?

• A) prevention costs
• B) appraisal costs
• C) internal failure costs
• D) external failure costs
• E) None is hard to quantify.

Comprehend the principle that people respond to incentives and its implications for economic behavior and policy.

Understand the principles of network access control schemes and how they impact data transmission.

Identify and differentiate between various network topologies.

Comprehend the primary function of a Local Area Network (LAN).

---

Definitions:

Marginal Cost

The increase in total cost that arises when the quantity produced is incremented by one unit.

Profit-maximizing Rule

The principle that firms maximize their profits by producing at a level where marginal costs equal marginal revenues.

Marginal Revenue

The increased earnings a business obtains from the sale of one extra item or service.

Marginal Cost

The increase in total cost that arises from producing one additional unit of a product.