All the Following Costs Are Generally Included in a Cost-Of-Quality

question 126

Multiple Choice

All the following costs are generally included in a Cost-of-Quality (COQ) report except:

• A) Warranty claims.
• B) Forgone contribution margin on lost sales.
• C) The cost of making sales calls.
• D) Design re-engineering costs.
• E) The cost of implementing a statistical process control (SPC) system.

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Definitions:

Incentive

A thing that motivates or encourages someone to do something; a reward or reason for performing an action.

Need

Need refers to a psychological or physiological requirement essential to the well-being of an organism, ranging from basic survival necessities like food and shelter to more complex psychosocial demands such as esteem and belonging.

Physiological Need

A basic bodily requirement that must be met to ensure survival and well-being.

Drive

An internal motivational state that compels organisms to engage in behaviors necessary to satisfy a physiological or psychological need.