Identity the Following by Their Type of Quality Cost

question 46

Multiple Choice

Identity the following by their type of quality cost.
-Preventive machine maintenance

• A)Preventive costs
• B)Appraisal costs
• C)Internal failure costs
• D)External failure costs

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Definitions:

Forward Rate

An agreed-upon price for a currency or asset to be exchanged at a future date, used for hedging or speculation.

Forward Contract

A financial derivative that represents a customized contract between two parties to buy or sell an asset at a specified price on a future date.

Carrying Value

The book value of assets and liabilities, reflecting their recorded cost minus any depreciation, amortization, or impairment charges.

Spot Rate

The price at which a financial instrument or commodity can be bought or sold for immediate delivery, emphasizing current market value.