Fact Pattern 10-5 Brick and Carmen Are in an Auto

question 70

Multiple Choice

Fact Pattern 10-5 Brick and Carmen are in an auto accident. Brick offers Carmen $2,000 if she promises not to pursue her potential legal claim against Brick. Carmen agrees. Later, Carmen discovers that it will cost $1,500 to repair her car and $4,000 to cover the medical expenses for a latent injury.
Refer to Fact Pattern 10-5. In Carmen's suit against Brick to recover her repair and medical expenses, Carmen will most likely recover

• A) half the amount to pay the costs over what Brick already paid Carmen.
• B) nothing.
• C) the estimated amount to pay those costs and any other liability.
• D) the exact amount to pay those costs and no more.

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Definitions:

Quality Training

Educational programs or sessions aimed at enhancing the skills and knowledge of employees to maintain or improve product or service quality.

Quality Costs

Expenses associated with preventing, detecting, and correcting defective work in products or services.

Quality Cost Report

A quality cost report compiles all expenses related to ensuring products or services meet quality standards, including prevention, appraisal, and failure costs.

External Failure

The costs incurred when a product fails to meet quality standards after it has been delivered to the customer, including returns, repairs, and lost sales.