Asked by Prince Saini on Jul 26, 2024
Verified
Which of the following would be classified as an external failure cost on a quality cost report?
A) Final product testing and inspection.
B) Disposal of defective products.
C) Supervision of testing and inspection activities.
D) Cost of field servicing and handling complaints.
External Failure Cost
Costs incurred when products or services fail to meet quality standards after being delivered to the customer, including returns, repairs, and warranty claims.
Quality Cost Report
A document that details the costs associated with ensuring product quality, including prevention, appraisal, and failure costs.
Field Servicing
The process of providing maintenance, repair, or support services for products or equipment at the customer's location.
- Recognize the different categories of quality-related costs, such as costs for prevention, appraisal, internal failure, and external failure.
Verified Answer
Learning Objectives
- Recognize the different categories of quality-related costs, such as costs for prevention, appraisal, internal failure, and external failure.
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