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:

Financial Statements

Reports that provide an overview of a company's financial condition, including balance sheet, income statement, and cash flow statement.

Income Statement

A financial document summarizing a company's revenues, expenses, and profit over a specific period, reflecting its operational performance.

Balance Sheet

A financial statement that displays a company's assets, liabilities, and shareholder equity at a specific point in time.

Statement Of Cash Flows

A financial statement that shows how changes in balance sheet accounts and income affect cash and cash equivalents, breaking the analysis down into operating, investing, and financing activities.