Examples of prevention costs include:
A)employee training and awareness costs.
B)costs of pre-certifying and qualifying suppliers.
C)inspection and testing costs.
D)employee training and awareness costs,and costs of pre-certifying and qualifying suppliers.
E)employee training and awareness costs,costs of pre-certifying and qualifying suppliers,and inspection and testing costs.

Question

Quizplus · Accepted Answer

Prevention costs are expenses related to preventing defects before they happen. This includes costs for activities such as employee training and awareness to prevent mistakes, and pre-certifying and qualifying suppliers to ensure quality inputs. Inspection and testing costs are considered appraisal costs, not prevention costs.

Examples of Prevention Costs Include