Which of the Following Is Most Likely to Be Categorized

question 181

Multiple Choice

Which of the following is most likely to be categorized as an external failure cost?

• A)the cost of testing a product before shipment
• B)the cost of machinery maintenance to avoid breakdowns during production
• C)the cost of lost future sales after a customer finds a defect in a product
• D)the cost of inspection of materials to be used in production

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Definitions:

Encourage

To give support, confidence, or hope to someone, usually through words or actions that boost their willingness or ability to continue or undertake a task or overcome a challenge.

Neater

Having or showing a tendency to be more organized, tidy, or orderly in appearance or manner.

EOL

An acronym for End Of Life, indicating the phase at which a product or system is considered no longer useful or is to be discontinued.

Payoffs

The returns or outcomes from different decisions or actions in decision theory and economics.