Asked by Charlease Jordan on May 28, 2024
Verified
Internal failure costs include the costs of inspection,testing,and measuring product or service quality.
Internal Failure Costs
Expenses incurred from defects found before a product or service is delivered to the customer, including rework, scrap, and downtime costs.
Product Quality
The characteristics of a product that determine its ability to satisfy stated or implied needs.
Inspection Costs
Expenses associated with the activity of examining and verifying the quality and specifications of products or materials.
- Comprehend the primary classifications of quality cost and their effects.
Verified Answer
SM
Sarah MackenzieMay 29, 2024
Final Answer :
False
Explanation :
Internal failure costs are costs associated with defects found before the product or service is delivered to the customer, such as scrap, rework, and downtime, not the costs of inspection, testing, and measuring, which are considered appraisal costs.
Learning Objectives
- Comprehend the primary classifications of quality cost and their effects.