Which of the Following Is Not an Example of the Cost

question 70

Multiple Choice

Which of the following is not an example of the cost of quality?

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

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Definitions:

Days' Sales Uncollected

A financial ratio that shows the average number of days it takes for a company to collect payment after a sale has been made.

Accounts Receivable

Receivables from clients for goods or services a company has provided but has not yet received payment for.

Managing Collections

The process of overseeing and ensuring the timely collection of accounts receivable to maintain a company's cash flow.

Petty Cash Fund

A little sum of money maintained readily available for covering small costs instantly.