Which of the following is NOT defined as a category of quality-related costs?
A)prevention costs
B)appraisal costs
C)value added costs
D)external failure costs

Question

Quizplus · Accepted Answer

Value added costs are not considered as a category of quality-related costs. Instead, they refer to activities that directly contribute to the creation of a product or service and add value in the eyes of the customer. The other choices, prevention costs, appraisal costs, and external failure costs, are all categories of quality-related costs. Prevention costs are associated with activities designed to prevent defects from occurring in the first place, appraisal costs are associated with evaluating products or services to ensure they meet quality standards, and external failure costs are associated with defects that escape to the customer and result in warranty claims, product recalls, or lawsuits.

Which of the Following Is NOT Defined as a Category