Costs incurred to avoid poor quality goods or services are considered
A) appraisal costs.
B) activity-based costing.
C) value engineering.
D) prevention costs.

Question

Quizplus · Accepted Answer

Costs incurred to avoid poor quality goods or services are considered prevention costs. These costs are incurred to prevent defects from occurring in the first place and include activities such as training, maintenance, process improvement, and quality planning.

Costs Incurred to Avoid Poor Quality Goods or Services Are