Costs that are incurred to preclude defects and improper processing are:
A)prevention costs
B)detection costs
C)appraisal costs
D)failure costs

Question

Quizplus · Accepted Answer

Prevention costs are incurred to prevent defects and improper processing from occurring in the first place, such as training employees, implementing quality control procedures, and maintaining equipment. This is different from detection costs (B), which are incurred to detect defects after they have occurred (such as inspections), appraisal costs (C), which are incurred to evaluate the quality of goods or services (such as testing before release), and failure costs (D), which are incurred as a result of defects (such as warranty claims and recalls).

Costs That Are Incurred to Preclude Defects and Improper Processing