Which of the Following Is an Example of an Internal

question 74

Multiple Choice

Which of the following is an example of an internal failure cost?

• A) Training employees to improve quality.
• B) Designing products to reduce production problems.
• C) Correcting product defects before they are sold.
• D) Inspecting the production process as it occurs.

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Definitions:

Marketable Securities

Financial instruments that can easily be converted to cash without a significant loss in value.

Near Cash

Assets that are not cash but can be quickly converted into cash with minimal loss of value.

Transit Float

The time difference between when a check is deposited and when the funds are credited to the depositor's account, during which the funds are in transit.

Check Clearing

The process through which banks settle transactions made by checks, transferring funds from the issuer's account to the recipient's account.