Costs Incurred to Determine Whether Products and Services Are Conforming

question 72

Multiple Choice

Costs incurred to determine whether products and services are conforming to requirements are called

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

---

Definitions:

Market Period

A short duration in which the quantity of goods supplied to the market cannot be changed.

Perishable Good

A type of good that has a limited shelf life and can spoil or become unusable after a certain period, such as food products.

Ripe Strawberries

Fully mature strawberries that have reached their peak of sweetness and flavor, often used to signify readiness or perfect timing.

Tax

A requisite fiscal demand or variant levy put on a taxpayer by a political organization to underwrite government expenditure and sundry public disbursements.