In Classifying the Costs of Quality at a Company That

question 106

Multiple Choice

In classifying the costs of quality at a company that manufactures sonar equipment, which of the following is considered an external failure cost?

• A) the net cost of scrap and spoilage incurred during production.
• B) the cost of repairs and replacements made during the warranty period.
• C) the cost of debugging software errors found in the sonar equipment during inspection at the plant.
• D) both the cost of repairs and replacements made during the warranty period and the cost of debugging software errors found in the sonar equipment during inspection at the plant.
• E) none of the above.

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