The cost of scrap and rework is an example of what type of quality cost?
A)Prevention costs
B)Appraisal or inspection costs
C)Internal failure costs
D)External failure costs

Question

Quizplus · Accepted Answer

The cost of scrap and rework is an internal failure cost, as it occurs when a defect is found after production and the product must be either scrapped or reworked to meet quality standards. Prevention costs are incurred to prevent quality issues from occurring in the first place, appraisal or inspection costs are incurred to detect and address quality issues before the product reaches the customer, and external failure costs are incurred when quality issues are found by the customer after the product has been delivered.

The Cost of Scrap and Rework Is an Example of What