What Do You Call the Costs Incurred to Avoid Production

question 89

Multiple Choice

What do you call the costs incurred to avoid production of poor quality goods or services?

• A) External failure costs
• B) Internal failure costs
• C) Appraisal costs
• D) Prevention costs

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Definitions:

Promised Time

A specified duration or a moment in the future at which certain events are foretold or expected to happen.

Differentiation

A strategy businesses use to distinguish their products or services from those of competitors, often through unique features or superior quality.

Market Faster

Strategies or actions taken by companies to speed up their product development processes and market entry times.

Reliable Products

Reliable products are goods that consistently perform well over time, meeting consumer expectations for quality and durability.