The Cost of Fixing Defective Units Found During the Quality

question 61

Multiple Choice

The cost of fixing defective units found during the quality inspections would be classified as a(n)

• A) prevention cost.
• B) appraisal cost.
• C) internal failure cost.
• D) external failure cost.

---

Definitions:

Comparative Form

A grammatical construction used in many languages to compare two items or states, often formed by modifying adjectives or adverbs.

Revenue And Expense

Financial terms identifying the income a company generates and the costs incurred to generate that income, respectively.

Earnings Per Share

A financial metric that gauges the portion of a company's profit allocated to each outstanding share of common stock.

Common Stock

Equity ownership in a corporation, with voting rights and eligibility to receive dividends.