Which of the Following Is the Cost of Quality Classification

question 17

Multiple Choice

Which of the following is the cost of quality classification for costs such as defects that pass through the system (e.g., customer warranty replacements, loss of customer or goodwill, handling complaints, and product repair) ?

• A) Appraisal costs
• B) Prevention costs
• C) External failure costs
• D) Customer return cost
• E) Workmanship costs

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Definitions:

Price Decreases

A decline in the cost of goods or services, opposite to price increases.

Demand Curve

A diagram illustrating how consumer demand for a product changes in relation to its price.

Quantity Demanded

The overall volume of a certain good or service that individuals are prepared and financially able to buy at a set price during a specified interval.

Price

The payment expected, demanded, or issued in compensation for something.